Requirements
Malaysia SC DAX Licence — Key Requirements
Entity
Malaysian Sdn. Bhd. required
Private limited company; Companies Commission of Malaysia
Min. Capital
RM 5,000,000
Approx. USD 1.1M; fully paid-up at application — one of highest in Asia
Physical Office
Required in Malaysia
Genuine presence; Kuala Lumpur recommended
AML/CFT
AMLA 2001 compliant
Complete KYC/CDD; STR reporting to BNM FIU
Key Personnel
Fit & proper
Directors, CEOs, UBOs; SC background checks
Cybersecurity
SC cybersecurity guidelines
Penetration testing; incident response
Compliance Officer
Required
Dedicated compliance team
Investor Protection
SC investor protection measures
Asset segregation, insurance
Process
How to Get a Malaysia DAX Operator Licence — Step by Step
1
Incorporate Malaysian Sdn. Bhd.
Companies Commission; appoint local directors; inject RM 5M capital.
1–2 weeks2
Develop Compliance Infrastructure
AML programme per AMLA 2001; cybersecurity framework; governance policies.
2–4 months3
Pre-Application Meeting with SC
SC offers pre-submission consultation; highly recommended before filing.
2–4 weeks4
Submit DAX Operator Application
Full application package; SC review; multiple clarification rounds expected.
6–12 months5
SC Approval & Commence Operations
Operational approval granted; ongoing SC reporting obligations; annual audits required.
OngoingCosts
Malaysia SC DAX Licence — Full Cost Breakdown
| Item | Details | Approx. Cost |
|---|---|---|
| SC application fee | Non-refundable regulatory fee | RM 50,000+ |
| Annual SC levy | Ongoing supervisory levy | Varies |
| Sdn. Bhd. incorporation | CCM registration and setup | RM 5,000–10,000 |
| Office (Year 1) | Physical office in Malaysia | RM 60,000–150,000/yr |
| Legal & compliance | Application preparation, AML policies | RM 100,000–300,000 |
| Estimated Year 1 Total (excl. capital) | Setup, regulatory, office, professional fees | RM 200,000–500,000+ |
FAQ
Malaysia Crypto Licence — Common Questions
The SC Malaysia issues Digital Asset Exchange (DAX) operator licences under the Capital Markets and Services Act 2007 and Guidelines on Recognised Markets. SC approved the first DAX operators in 2019. DAX operators can operate digital asset trading platforms for retail and institutional investors in Malaysia.
RM 5,000,000 (approximately USD 1.1 million) fully paid-up capital. This is among the highest minimum capital requirements in Asia, reflecting Malaysia's investor protection focus.
6–12 months for well-prepared applications. The SC is thorough in reviewing governance, compliance, and technical systems. Complex business models may take longer.
Yes, but a Malaysian Sdn. Bhd. is required. Foreign ownership is permitted but must comply with Malaysia's corporate governance requirements. Local directors with relevant experience are strongly recommended.
Malaysia offers a regulated Southeast Asian market with 33 million people, clear regulatory framework, and growing institutional crypto adoption. The RM 5M capital requirement is the main barrier. Labuan IBFC (separate jurisdiction) offers lighter-touch licensing for international business.
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