Bank Negara Malaysia Launches Three‑Sandbox Pilot to Test Ringgit‑Pegged Stablecoins and Tokenised Deposits
Kuala Lumpur – Bank Negara Malaysia (BNM) announced on Wednesday that its Digital Asset Innovation Hub (DAIH) will run three regulatory‑sandbox pilots aimed at exploring the use of ringgit‑denominated stablecoins and the tokenisation of bank deposits and real‑world assets (RWAs). The experiments are part of a broader push to lay the groundwork for a wholesale central‑bank digital currency (CBDC) and to position Malaysia among the nations racing to embed blockchain‑based assets in the financial system.
What the pilots cover
| Pilot | Focus | Intended Outcome |
|---|---|---|
| Stablecoin for cross‑border settlement | Creation of a ringgit‑backed stablecoin that can be used for inter‑bank and inter‑jurisdictional payments | Demonstrate faster, 24/7 settlement and reduced reliance on correspondent banking |
| Tokenised bank deposits | Digitisation of traditional bank deposits into on‑chain tokens that retain the same legal claim on the underlying fiat | Test operational feasibility, liquidity management and regulatory compliance for a future wholesale CBDC |
| Tokenisation of RWAs | Issuing blockchain‑based tokens that represent tangible assets such as commodities, real estate or supply‑chain invoices | Evaluate how tokenised assets can be integrated into programmable finance and Shariah‑compliant product suites |
The three pilots will be run under the sandbox framework, allowing participating entities to experiment with limited‑scale prototypes while BNM monitors compliance, consumer protection, and systemic risk considerations.
Who is involved
Four major financial institutions have signed up as partners for the pilots:
- Standard Chartered Bank – a global bank with a strong footprint in Asia‑Pacific, providing expertise in wholesale payments.
- CIMB Group Holding – Malaysia’s second‑largest banking group, bringing regional network depth.
- Maybank – the country’s largest bank, adding significant domestic market reach.
- Capital A – an investment holding firm that previously collaborated with Standard Chartered on a ringgit‑stablecoin concept.
In addition to these commercial partners, BNM emphasized that all pilots will be evaluated through a Shariah lens, ensuring that any resulting products can be offered to Malaysia’s sizable Islamic‑finance market.
Context and precedents
The initiative follows a three‑year roadmap released in November 2025 that outlined a phased approach to asset tokenisation across sectors such as supply‑chain logistics, credit access, and programmable finance. Earlier this year, the Crown Prince of Malaysia, Tengku Zafrul Aziz, oversaw the launch of a ringgit‑pegged stablecoin (ticker RMJDT) issued by Bullish Aim, a telecom subsidiary. Although still confined to sandbox testing, the project signalled institutional interest in a digital ringgit.
Separately, Standard Chartered and Capital A announced plans to investigate a wholesale ringgit‑stablecoin for settlement between banks, echoing the current DAIH pilots. These efforts are distinct from retail‑focused stablecoins; they target institutional participants, aiming to streamline high‑value, time‑critical transactions.
Why the pilots matter
- Accelerating Malaysia’s digital‑finance agenda – By experimenting with tokenised deposits and stablecoins, BNM can gather data on operational risk, legal frameworks, and market readiness before committing to a full‑scale CBDC.
- Cross‑border efficiency – A ringgit‑stablecoin could cut settlement times from days to minutes, a competitive advantage for a country that serves as a trade hub in Southeast Asia.
- Shariah compliance – Embedding Islamic‑law considerations from the outset could make Malaysia a pioneering jurisdiction for compliant tokenised assets, attracting crypto‑friendly investors from the region.
- Regulatory signaling – The sandbox approach demonstrates BNM’s willingness to collaborate with the private sector while retaining oversight, a balance many central banks are still calibrating.
Analyst view
“Malaysia’s sandbox pilots are a logical next step after the RMJDT token launch and the 2025 roadmap,” says Dr. Anisa Rahman, a fintech researcher at the University of Malaya. “What separates BNM from many peers is the explicit inclusion of Shariah guidance, which could unlock a large untapped market for tokenised finance. If the pilots succeed, we may see a wholesale CBDC rollout within the next two to three years, positioning Malaysia as a regional leader in digital settlement infrastructure.”
However, challenges remain. Tokenising bank deposits raises questions about liquidity, deposit insurance, and the interaction with existing payment systems. Moreover, the stablecoin’s peg to the ringgit will need robust collateral management, especially in volatile global markets.
Key takeaways
- Three sandbox pilots will explore ringgit‑stablecoins for cross‑border payments, tokenised bank deposits, and tokenised real‑world assets.
- Major banks (Standard Chartered, CIMB, Maybank) and Capital A are participating, providing both domestic and international expertise.
- Shariah compliance is a core requirement, reflecting Malaysia’s ambition to serve both conventional and Islamic finance sectors.
- The pilots serve as a data‑gathering platform for BNM’s longer‑term plan to possibly issue a wholesale CBDC.
- Success could enhance Malaysia’s appeal as a digital‑finance hub in Southeast Asia, offering faster settlement, programmable finance capabilities, and a model for Islamic‑compliant tokenisation.
As the pilots progress, BNM has pledged to publish findings that will shape its policy direction in the emerging digital‑asset ecosystem. Stakeholders across the region will be watching closely to gauge how the experiments translate into concrete regulatory frameworks and commercial products.
Source: https://cointelegraph.com/news/malaysia-central-bank-stablecoin-tokenize-sandbox?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
