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← The Crypto Livability Index

APAC · Emerging

Malaysia

Crypto Livability Index 2025·data to 31 Dec 2025

Livability rank
#25 / 79
Rails rank
#29 / 79
Need shift
▲ +4

Scoreboard

Five pillars, then the 22 sub-pillars scored 0 to 4. Empty sub-scores are held out of the total, not zeroed.

Five pillars
P1 Access10 / 16
P2 Regulation16 / 20
P3 Spending12 / 20
P4 Infrastructure8 / 12
P5 Community12 / 16
22 sub-pillars (0–4)
4
P1.1
Exchange access
not scored
P1.2
P2P liquidity
0
P1.3
ATM density
3
P1.4
On/off-ramp friction
3
P1.5
Stablecoin access
3
P2.1
Legal status
4
P2.2
Tax treatment
3
P2.3
Income legality
3
P2.4
KYC burden
3
P2.5
Regulatory trajectory
4
P3.1
Gift cards
1
P3.2
Direct merchants
3
P3.3
Crypto cards
0
P3.4
Utility bills
4
P3.5
Connectivity
4
P4.1
Internet penetration
4
P4.2
Smartphone penetration
0
P4.4
Remittance corridor
double-edged
4
P5.1
Meetups and events
4
P5.2
Crypto media
3
P5.3
Social sentiment
1
P5.4
Developer density

The number behind the rank

Raw capability score58 / 84
P2P liquidity bonus (tie-breaker)+2
Inflation 1.9% · unbanked 11% · remittances 0.4% GDP · capital controls 0.58 · sanctions 0 CNI 0.150
Need multiplier×0.724
Livability score0.500

Raw 58/84 = 0.690 capability. Crypto-Necessity Index 0.15, from five components: inflation 1.9% (three-year average 2023 to 2025), unbanked 11% of adults, remittances 0.4% of GDP, capital-control intensity 0.58 (KAOPEN 2023), sanctions exposure 0. Need multiplier ×0.72. Livability score 0.500, rank #25 of 79.

Three findings

One of the strongest regulation scores in the index: 16/20

Malaysia ties Switzerland, the UAE, Georgia and Thailand on the regulation pillar, with a 0% capital-gains regime, Securities Commission licensing of digital-asset exchanges, payment-in-kind acceptance of crypto salary, and standard FATF-aligned KYC. The rulebook is mature and balanced, and the rank barely moves between the rails and livability tables, a sign of a settled, moderate market.

Deep rails to buy, almost none to spend in person

Gift-card coverage is a top score on a catalogue exceeding 100 brands anchored by Touch n Go and the Grab ecosystem, but direct merchant acceptance is a handful, utility-bill payment is 0, and Bybit and Binance are both barred by the regulator. The licensed framework deliberately silos crypto trading from payment services.

A built-up infrastructure base with little structural pull

Internet penetration is 98% and smartphone ownership clears the top tier, yet the Crypto-Necessity Index is only 0.15: inflation 1.9%, remittances 0.4% of GDP, and Malaysia functions as a net sender to Indonesia, Bangladesh and Nepal. Capability is high; the survival-demand signal is low.

In one line

"Malaysia has one of the most balanced crypto rulebooks anywhere: zero tax on gains, clear licensing, salaries payable in kind. It is easy to buy and hold here, and deliberately hard to spend at the till."

Watch in 2026

Trajectory 3/4, trending liberalising. The Securities Commission ran two simultaneous consultations in mid-2025, Consultation Paper 3/2025 to broaden the exchange and token-listing framework and a tokenised capital-market-products paper, alongside a central-bank digital-asset innovation sandbox. Exchange-led listing autonomy is slated to take effect in 2026, the concrete reform to watch.

Regional neighbours
Data vintage 31 December 2025 · CLI vv1.3 · Genghis Research · CC BY 4.0