Malaysia’s Prime Minister Anwar Ibrahim announced plans to develop comprehensive policies for cryptocurrency and blockchain technology on 14 January 2025. 

Following his recent discussions with Binance co-founder Changpeng Zhao and leaders from the United Arab Emirates (UAE), Ibrahim is signaling the country’s intent to position itself as a key player in the global digital economy.

“I had lengthy discussions with the Abu Dhabi leadership and Zhao, co-founder of the world’s largest cryptocurrency platform Binance,” revealed Ibrahim.

Malaysia’s new stance on blockchain.

The discussions were not about Binance but about the crypto industry and Malaysia, including regulations, policies, risks, and collaborations between industries and across national borders. Forward!https://t.co/ppgrYA0ITH

— CZ BNB (@cz_binance) January 15, 2025

Ibrahim Underlined The Urgency Of Embracing Innovation

Ibrahim returned to Malaysia after a three-day visit to Abu Dhabi, where he engaged in extensive talks about the future of digital finance and technology. 

“We now face demands which require us to think about making significant changes,” said Ibrahim while speaking to reporters. 

He also insisted on the importance of adapting to emerging technologies like cryptocurrency, blockchain, artificial intelligence (AI), and data centers.

The PM revealed that he has directed key government agencies, including the Treasury, Securities Commission, and Bank Negara (Malaysia’s central bank), to explore how Malaysia can stay competitive in the rapidly evolving crypto industry. 

“I proposed several months ago how our agencies, including security, treasury and Bank Negara study how Malaysia can explore this so we aren’t left behind,” said Ibrahim. “Ensuring that it is regulated could safeguard the people’s interests and prevent leakages.”

This directive aims to ensure that Malaysia does not fall behind other nations that are actively fostering crypto-friendly ecosystems.

“This will be a radical departure from the old ways,” he added. “I hope we can be more open to this. I am leaning towards not just approving but also expediting this.”

Explore: Malaysia’s MX Global Exchange Receives Regulatory Approval For Trading Worldcoin, A Biometric Crypto

“We feel that Malaysia should not be left behind while mired in an old financial system”

Ibrahim announced plans to draft a comprehensive policy paper on cryptocurrency and blockchain technology. Furthermore, it will be presented to the Malaysian cabinet for review and approval.

He stressed that regulations are crucial not only for fostering innovation but also for safeguarding public interests and preventing potential financial risks such as fraud or misuse.

“This innovation is just like AI, which would revamp the financial world. We should not sit idly by and wait and later be forced to do so after others have done it already,” Ibrahim said. 

Did You Know- Malaysia ranks 10th globally for crypto ownership, with 14.3% of its population holding digital assets!

Malaysians are also big on NFTs, with 24% of crypto users owning one—right behind the Philippines & Thailand.

From DeFi growth to NFTs, Malaysia’s making… pic.twitter.com/fKZxnFFhir

— Lisk (@LiskHQ) October 14, 2024

Prime Minister Ibrahim expressed his intent to collaborate with international partners, particularly the UAE, which has emerged as a global leader in crypto regulation.

Malaysia’s Regulators Recently Shut Down Bybit Operations

Recently, popular crypto exchange Bybit was forced to shut down its operations in Malaysia. The Securities Commission Malaysia (SC) took action against Bybit and its CEO, Ben Zhou, citing the exchange’s failure to register as a Recognized Market Operator (RMO).

The SC ordered Bybit to disable its website and mobile applications by 25 December 2024.

Furthermore, the company was asked to cease all promotional activities targeting Malaysian investors and shut down its local Telegram support group immediately.

This incident underscores the need for a well-defined regulatory framework that balances innovation with consumer protection. Ibrahim acknowledged these concerns but urged stakeholders to adopt an open-minded approach.

“As with all new ideas raised, there will be some concerns. We have to train our personnel, develop competency, and get the players to participate,” he said.

Related: Why Was Bybit Ordered To Cease Operations In Malaysia?

The post Malaysia’s Prime Minister Anwar Ibrahim Advocates For Expediting Crypto, Blockchain Policies appeared first on 99Bitcoins.