Standard Chartered Bank Malaysia and Capital A, the parent company of AirAsia, have agreed to jointly examine the creation of a stablecoin linked to Malaysia’s national currency, the ringgit. In a statement released Friday, the two parties confirmed they had signed a letter of intent to pursue the initiative under the country’s Digital Asset Innovation Hub, which was introduced by Bank Negara Malaysia (BNM) in June.

The proposed project would mark Capital A’s first step into the regulated digital asset sector. The effort is expected to draw on Standard Chartered’s banking infrastructure and financial expertise, alongside Capital A’s broader business ecosystem, with an initial focus on wholesale applications rather than consumer-facing use cases.

Under the arrangement, Standard Chartered Malaysia would act as the issuer of the stablecoin, while Capital A and affiliated companies would be responsible for developing, testing and piloting potential wholesale implementations.

Malaysia’s push toward digital finance

The announcement aligns with Malaysia’s broader ambition to keep pace as digital assets and stablecoins become increasingly integrated into global financial systems. Capital A said the initiative “supports the aspirations of Malaysia,” framing the stablecoin exploration as part of a wider national effort to modernize payments and capital markets using digital asset technology.

Momentum for this direction appears to extend to senior figures in the country. Recently, the eldest son of Malaysia’s billionaire king launched a ringgit-pegged stablecoin, while the Digital Asset Innovation Hub continues to provide a controlled environment for fintech and digital asset firms to test new solutions under BNM supervision.

Expanding tokenization and regulatory frameworks

BNM has also taken additional steps to advance digital finance. Last month, the central bank unveiled a three-year roadmap aimed at exploring and testing asset tokenization across the financial sector, building on its existing regulatory sandbox. The plan includes proof-of-concept initiatives and live pilot programs.

Alongside this, BNM established an Asset Tokenization Industry Working Group to coordinate industry-wide experimentation, facilitate knowledge sharing and identify legal and regulatory challenges. Malaysia has been reassessing its approach to digital assets since early 2025, with reports in January indicating that the government was considering a formal cryptocurrency policy to recognize the sector and modernize the country’s financial system.

Sources:

https://newsroom.airasia.com/news/2025/12/12/capital-a-and-standard-chartered-malaysia-set-to-explore-myr-stablecoin-sandbox-initiative

https://cointelegraph.com/news/standard-chartered-capital-a-ringgit-stablecoin-malaysia

https://x.com/airasia/status/1999327952522334391