Malaysian Central Bank Announces Launch of Stablecoin and Tokenization Experiment Sandbox

BlockBeats News, February 12th, according to Cointelegraph, the Central Bank of Malaysia has stated that its Digital Currency Innovation Hub is piloting three regulatory sandbox projects to research and develop stablecoins and tokenized bank deposits.

BNM's initiative primarily focuses on using the Malaysian ringgit-backed stablecoin for cross-border settlements and developing tokenized real-world assets (RWA).

The pilot also aims to test tokenized bank deposits, with all research outcomes potentially informing the future development of a wholesale central bank digital currency (CBDC), a blockchain-based fiat currency issued and managed directly by a central bank.