Malaysia’s stock exchange may introduce digital asset exchange-traded funds to expand investment offerings for investors.
According to Fad’l Mohamed, chief executive officer of Bursa Malaysia, the exchange is “assessing ways to offer regulated, exchange-traded exposure to digital assets, including the possibility of crypto ETFs”.
“Any such offering would be subject to issuer interest, regulatory approval and suitability for investors who understand the higher-risk nature of these instruments,” he said at a press conference on January 29.
He said younger investors in particular are looking for a wider variety of investment products. “Introducing new products is therefore important. ETFs, in particular, offer thematic exposure across markets and asset classes, giving investors more choice and flexibility.”
Regulators in Japan and Thailand have also recently voiced interest in crypto ETFs.
Japan’s Financial Services Agency said last month that it’s preparing to amend existing rules to classify cryptocurrencies as eligible underlying assets for ETFs, while Thailand’s Securities and Exchange Commission plans to create a regulatory framework for crypto ETFs as part of its 2026-2028 capital market roadmap.
Hong Kong is the only major Asian jurisdiction that currently offers crypto ETFs.
“Malaysian investors are already familiar with ETFs and structured warrants, and such products can be supported by our existing market infrastructure without the need to build separate digital asset infrastructure,” Fad’l said.
He added that crypto ETF-related products will have to be aligned with Bursa Malaysia’s regulatory framework and support its broader multi-asset strategy.
Fad’l also said any digital asset offerings will have strong safeguards to protect investors. “Digital assets are highly volatile and may lack intrinsic value, so this is an important consideration.”
