Bank Ne­gara urges the pub­lic to weigh dig­i­tal as­set risks care­fully

The Star Malaysia - StarBiz - - News -

PE­TAL­ING JAYA: Bank Ne­gara is urg­ing members of the pub­lic to care­fully eval­u­ate the risks as­so­ci­ated with deal­ings in dig­i­tal as­sets, which are not le­gal ten­der in Malaysia.

In a joint state­ment yes­ter­day, Bank Ne­gara and the Se­cu­ri­ties Com­mis­sion (SC) said both par­ties would work to­gether to im­ple­ment the reg­u­la­tory frame­work for the dig­i­tal as­sets to ensure they com­ply with laws and reg­u­la­tions un­der the purview of both reg­u­la­tors.

Dig­i­tal as­sets re­fer to dig­i­tal cur­ren­cies and dig­i­tal to­kens.

“SC will reg­u­late is­suances of dig­i­tal as­sets via ini­tial coin of­fer­ings (ICOs) and the trading of dig­i­tal as­sets at dig­i­tal as­set ex­changes in Malaysia.

“Reg­u­la­tions are cur­rently be­ing put in place to bring dig­i­tal as­sets within the re­mit of se­cu­ri­ties laws to pro­mote fair and orderly trading and ensure in­vestor pro­tec­tion,” Bank Ne­gara and the SC said in the state­ment.

The reg­u­la­tors cau­tioned ICO is­suers and dig­i­tal as­set ex­changes which is­sue or deal with dig­i­tal as­sets with a pay­ment func­tion must com­ply with rel­e­vant Bank Ne­gara laws and reg­u­la­tions re­lat­ing to pay­ments and cur­rency mat­ters.

ICO is­suers and dig­i­tal as­set ex­changes are sub­ject to SC’s Guide­lines on Pre­ven­tion of Money Laun­der­ing and Ter­ror­ism Fi­nanc­ing.

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