PANews reported on May 6th that the Securities Commission of Malaysia (SC) today issued a consultation document aimed at collecting public opinions on the draft regulatory framework for tokenized capital market products, with the public consultation period running from May 6th, 2025 to June 16th.
The Securities Commission noted that tokenized capital market products digitize traditional financial products such as stocks, bonds, and funds through distributed ledger technology (DLT), and should be distinguished from digital tokens and digital currencies, which are regulated under different frameworks.
The Securities Commission stated that the purpose of developing this regulatory framework is to address the growing market interest in tokenized products. The framework will focus on exploring DLT applications in capital markets, including programmable assets, partial ownership, and enhanced transparency, while ensuring investor protection. The draft also covers key areas such as disclosure requirements, governance controls, and technological risk management, and proposes additional requirements for relevant licensed entities.
