In April 2022, the Malaysian Comms Ministry proposes adopting cryptocurrency as legal tender. Following this proposition, the country’s residents started wondering if this was an actual possibility. Stay tuned and read below to find out the pros and cons of crypto as a legal tender in Malaysia and the potential benefits this might have on the casino industry in the country.
Malaysian Ministry Proposes Legal Tender of Cryptocurrency
As of the time of writing this article, cryptocurrency is not illegal in Malaysia, nor is it accepted as an official legal tender. People in the country have access to different cryptocurrencies and can even gamble online at the available legal and secure Bitcoin casinos in Malaysia.
In April 2022, the deputy minister of Malaysia’s Communications and Multimedia Ministry proposed that the country adopts cryptocurrency as legal tender. According to Zahidi Zainul Abidin, this will positively impact the country and its young people in particular. So far, however, nothing has been officially confirmed.
Interestingly, the Central Bank of Malaysia, along with the Reserve Bank of Australia, the Monetary Authority of Singapore, and the South African Reserve Bank, are part of the so-called Project Dunbar. The project is led by the Innovation Hub and explores cross-border payments via a common platform for multiple central bank digital currencies (CBDC).
In summary, Project Dunbar proved that the concept of multi-CBDCs is technically possible. In addition, it provides valuable insights on the benefits and challenges of a multi-CBDC platform, as well as the potential design of the platform. Finally, it also suggests areas for further exploration and improvement for technologists and policymakers.
Pros and Cons of Legalising Cryptocurrency in Malaysia
Like everything else, cryptocurrencies have their fair share of positive and negative sides. We want to be as objective as possible, so we will provide you with both. Without further ado, here are the main advantages and disadvantages of accepting cryptocurrency as a legal tender in Malaysia:
Lower Transaction Fees
Potential Scalability Difficulties
24/7 Transaction Availability
Limited Public Knowledge
Cryptocurrencies may be volatile when it comes to their prices. There are no clear regulations, which means that a potential legalisation of Malaysia crypto as a legal tender will require substantial changes in current financial and governmental codes and procedures. Another drawback is the potential scalability difficulties – an issue Ethereum faced a couple of years ago.
On the plus side, crypto has lower transaction fees. It is also very secure and believed to be more inflation-resistant than fiat currencies. In addition, cryptocurrency transactions are available 24/7. Overall, adopting cryptocurrency as a legal tender in Malaysia will certainly require time and effort. It is, however, possible. El Salvador, for example, was the first country to adopt Bitcoin as a legal tender. In April 2022, The Central African Republic followed in its footsteps.
Cryptocurrency and the Casino Scene in Malaysia
According to the widely held belief, legalising Malaysia crypto as legal tender will benefit the casino industry in the country. Currently, there is only one legal land-based gambling venue in Malaysia. This is the World Genting Resort Malaysia, located just outside of the country’s capital, Kuala Lumpur. Visitors and guests of the casino can enjoy thousands of slots and hundreds of table games.
Owning and operating an online gambling casino in Malaysia is illegal. However, players from the country are free to visit offshore gambling sites. If you want to learn more, we recommend you review our article about the top Malaysian online casinos. The good thing is that some of these operators are also cryptocurrency casino sites.
Cryptocurrency Online Casino Sites & Games MY
Before playing at any cryptocurrency online casino in Malaysia, you should make sure that the operator holds a valid gambling license issued by official gambling authorities. The Malta Gaming Authority (MGA) and the Gibraltar Gambling Commissioner (GGC) are two prominent examples. Every casino with cryptocurrency offers the complete list of online casino games and other gambling products as follows:
Using cryptocurrencies for your online casino transactions provides security, lower transaction fees, and faster withdrawals. Before choosing this option, however, make sure that you are well aware of the advantages and disadvantages of cryptocurrencies. Always put your safety first and avoid playing at dodgy sites at all costs. Select only the best Malaysian gambling sites.
Legal Tender Cryptocurrency in Malaysia: Conclusion
The potential acceptance of Malaysia crypto as legal tender is going to be a lengthy process. The country’s authorities must carefully consider the consequences this will have on the economy. According to various sources, cryptocurrency as legal tender can boost the casino industry in Malaysia. Players are already using digital currencies when gambling at offshore casino sites. We look forward to seeing how the events will unfold, and will keep you posted on the latest updates.
Frequently Asked Questions
This is the end of our article following the Malaysian Comms Ministry’s proposition to adopt cryptocurrency as legal tender. Hopefully, we have managed to shed some light on the developments so far. In case you have any questions, please have a look at our helpful FAQ section below:
1️⃣ Is Malaysia crypto a legal tender?
No, it is not. In the overview of this article, you can see that in April 2022, a Malaysian Ministry proposed legal tender of cryptocurrency. As of the time of writing this post, however, there is no official change in the legal status of crypto in the country.
2️⃣ Who proposed the adoption of legal tender cryptocurrency in Malaysia?
In April of 2022, the Malaysian Comms Ministry proposes adopting cryptocurrency as legal tender. According to deputy minister Zahidi Zainul Abidin, the younger population in the country will benefit from the legalisation of cryptocurrencies. In addition, many people believe that this will positively impact the casino industry in Malaysia.
3️⃣ What are the pros and cons of adopting crypto as legal tender?
There is a range of advantages and disadvantages of adopting cryptocurrency as legal tender. In short, cryptocurrency transactions are secure, 24/7, and generally believed to be more inflation-resistant than fiat currencies. There are also lower transaction fees. On the minus side, crypto is still considered a risky investment with unclear regulations. In addition, there is a potential scalability issue.
4️⃣ Is there any casino with cryptocurrency in Malaysia?
Since crypto is not a legal tender in Malaysia, there is no land-based cryptocurrency casino. However, gamblers can play at offshore casino sites, many of which accept cryptocurrencies such as Bitcoin and Ethereum. Always make sure that every casino with cryptocurrency is fully licensed and regulated by official gambling authorities like the MGA and the GGC.
5️⃣ How can Malaysian casinos benefit from cryptocurrency legalisation?
Players from Malaysia are already using digital currencies when gambling at online cryptocurrency casino sites. This means that they are more or less aware of the positives and negatives of using cryptocurrencies for your payment transactions. In addition, cryptocurrencies offer lower transaction fees and faster withdrawals than other payment providers.