Malaysia has become one of the more open Islamic-finance markets for regulated cryptocurrency, with trading on licensed digital-asset exchanges rising 23% in 2025 to RM17.14 billion, or more than $4 billion. The figure was about 2.5% of domestic equity-market turnover. The Securities Commission Malaysia had registered 10 digital-asset businesses by the end of the first half of 2026 across exchanges, initial exchange offering platforms and custodians. Its Shariah Advisory Council has recognized qualifying digital assets as property under Shariah and permits investment and trading on registered exchanges subject to its requirements. Bitcoin, Ether, XRP, Litecoin, Bitcoin Cash and a range of other tokens, including Stellar, appear on the regulator’s Shariah-related listings. Bank Negara Malaysia is separately testing ringgit stablecoins and tokenized deposits through three Digital Asset Innovation Hub initiatives covering domestic and cross-border settlement. Fitch Ratings expects Islamic crypto offerings to develop gradually because Shariah interpretations and regulatory standards remain divided across jurisdictions, while Malaysian banks continue to limit direct crypto involvement largely to services for regulated operators.