Malaysia's Crypto Comeback LIDAC26 Highlights Digital Asset Progress
The Luno Institutional Digital Asset Conference (LIDAC26) showcased Malaysia's significant progress in embracing digital assets, marking a stark contrast to Bursa Malaysia's earlier reluctance. Two years after Bursa Malaysia's decision to exclude crypto assets from its multi-asset exchange, the conference brought together regulators, bankers, and fund managers to discuss the future of digital assets as a cornerstone of the capital market.
Luno CEO James Lanigan highlighted that approximately RM1.43 trillion worth of assets had been tokenized by the first quarter of 2026, with RM1.26 trillion of that being stablecoins. This underscores the dominance of stablecoins, particularly tokenized USD, in the crypto economy. Lanigan emphasized that the industry has transitioned from speculation to building infrastructure and is now in its institutional era, positioning Malaysia as an early market rather than a late one.
Wong Huei Ching, the SC’s executive director of digital strategy and innovation, stressed that innovation is not merely about putting assets on a blockchain but proving their worth through pilots. The SC has already partnered with Khazanah Nasional to launch Malaysia’s first tokenized sukuk, a RM100 million pilot project. Trading value on Malaysia’s licensed digital asset exchanges surged by 23% in 2025, reaching RM17.14 billion.
John Ho of Standard Chartered discussed Bank Negara Malaysia’s experiments, including Project Mawar and the Digital Asset Innovation Hub, where stablecoins and tokenized deposits are being tested. The potential tokenization opportunity for Malaysia is estimated at around RM175 billion by 2030. The conference also featured notable speakers like Ong Kian Ming, Harjit Singh, and Anil Puri, who addressed taxation and global digital asset navigation. A standout session highlighted Malaysian builders shaping the global digital asset landscape, including the founders of CoinGecko and Etherscan.
Despite the focus on stablecoins, the conference notably overlooked Bitcoin, which commands over half of all crypto value. Bursa Malaysia, which once rejected crypto, now welcomes digital currency ETFs, signaling a shift in its stance. The SC has built the regulatory framework, Khazanah has demonstrated the feasibility of tokenization, and Bank Negara is testing the ringgit on-chain, setting the stage for the first digital currency ETF to trade on Bursa.