Malaysia’s Central Bank Explores Asset Tokenization with Digital Innovation Hub
Bank Negara Malaysia (BNM) has initiated a three-year exploration into real-world asset tokenization, establishing a Digital Asset Innovation Hub and an industry working group. The central bank aims to gather feedback on use cases, including supply chain finance and Islamic financing solutions, with proofs of concept and pilot studies slated for 2026.
BNM has outlined strict evaluation criteria for tokenization projects, emphasizing value creation over speculative assumptions. Distributed ledger technology (DLT) will only be considered where it demonstrably enhances efficiency, with APIs remaining a viable alternative for many solutions. The bank is collaborating with financial institutions, fintech startups, and technology partners to identify economically viable applications.
