Malaysia’s Central Bank Launches Sandbox for Stablecoins and Tokenized Assets

Reading Time: < 1 minute

Bank Negara Malaysia on Wednesday confirmed that its Digital Asset Innovation Hub is piloting three regulatory sandbox programs dedicated to the research and development of ringgit stablecoins and tokenized bank deposits.

The central bank said its initiatives will focus on employing ringgit stablecoins — pegged to the national fiat currency — for cross-border settlement, while also developing tokenized real-world assets. The trials will simultaneously explore tokenized bank deposits, with findings expected to feed into the potential creation of a wholesale central bank digital currency.

A wholesale CBDC refers to onchain fiat currency issued and managed directly by a central bank, restricted to use among financial institutions.

Bank Negara is collaborating with Standard Chartered Bank, CIMB Group Holding, Maybank, and investment holding company Capital A for the sandbox pilots. The announcement underscores Malaysia’s effort to test digital asset infrastructure within a controlled regulatory environment before considering broader adoption.