Malaysian Finance Minister Lim Guan Eng announced that in the first quarter of 2019 a new list of rules governing the activities of crypto-exchanges and ICOICO
(Initial Coin Offerings) is an acronym, which means a primary currency offer. Details will come into force.
Speaking in Kuala Lumpur on Wednesday at the FinTech 2018 conference, Lim said that the new rules are part of the efforts of the Malaysian Securities Commission, their goal to influence the growth of fundraising and investment in new classes of assets.
Making an announcement and delivering a keynote speech at this event, Lim said that the system developed by the Bank, Negara Malaysia (the country's central bank) and SC will become the regulatory framework for all participants in crypto-markets.
Lim Guan Eng: "While some parties may still be skeptical of this plan, there can be no doubt that we need to develop proper rules and enforce them to protect the interests of investors. [...] Both Bank Negara and the SC, in terms of formulating this framework, will be under the protection of the Ministry of Finance."
In a financial environment where traditional sources are unwilling to lend to innovative startups, the growth of financial solutions based on the use of cryptocurrency, such as ICOs, is a favorable alternative to the promising Malaysian economy. Seeing the possibility of economic growth, the Malaysian authorities took a few steps aimed at facilitating such investment routes.
Lima says: "We hope that thanks to this, we will accelerate the allocation of funds for support, as well as ensure the transparency of the use of public funding."
Earlier this month, CCN reported that Lim turned to the Malaysian parliament with a statement that, although the government is not against cryptocurrency, it requires compliance with regulatory requirements.
Editor: Yuliya Soroka