The Malaysian government is still undecided whether to legalize crypto or not in the country. This is according to a report from New Straits, a local media outlet.
The news was published on Jan 12 and quotes the current Malaysian Federal Territories Minister Khalid Abdul Samad. When asked about the legality of virtual currencies in the country he said that the government was still undecided. Adding that the situation was unclear for now.
Malaysian Finance Department And The Central Bank Plan To Regulate Crypto In The Country
Samad went on to add that since he was not the finance minister the matter didn’t fall under his jurisdiction. However, it’s to be noted that the minister was involved in the launch of a political cryptocurrency dubbed the Harapan Coin (HRP).
A coin that Samad at one time proposed to the current Prime Minister Mr. Mahathir Mohamad and the Bank Negara Malaysia to be used for conducting government transactions.
However, in November of last year the country’s prime minister Lim Guan Eng. warned that any entity that was planning to launch a cryptocurrency had first to refer to the Securities Commission and the Bank of Negara Malaysia (BNM).
He noted that he had asked a government official who was very vocal in support of the Harapan project to tone it down until the financial authorities had come up with a clear regulatory framework.
Also, last December, the Malaysian central bank and financial regulator issued a joint statement where they confirmed that they were setting up regulations that would govern cryptocurrencies and initial coin offerings (ICOs).
The Harapan Coin is touted as “the first political fundraising platform,” but very few details about the project have been revealed to the public.
It is believed that as much as 30 percent of the money raised for the project was destined for the pockets of the system administrators who remain anonymous.
