Low-cost airline AirAsia's parent company Capital A collaborates with Standard Chartered Bank Malaysia on MYR stablecoin issuance plan.

Malaysia is actively promoting financial digitization and innovation, and collaboration between enterprises and international banks is gradually becoming an important driving force for the upgrade of Malaysia's financial infrastructure. Capital A and Standard Chartered Bank Malaysia recently signed a memorandum of understanding, under which both parties will jointly explore the development and testing of a stablecoin pegged to the Malaysian Ringgit (MYR Stablecoin) within the framework of the Digital Asset Innovation Center (DAIH) under Bank Negara Malaysia, laying the foundation for the next phase of innovation in the local and regional financial system.

Capital A is actively expanding into the financial sector from the low-cost airline industry.

This collaboration symbolizes Capital A's first large-scale entry into the regulated digital asset space. As a cross-industry group that originated in the aviation sector and has actively expanded into fintech, logistics, and digital services in recent years, Capital A will leverage its vast corporate ecosystem, combining Standard Chartered Bank's deep experience and institutional-grade infrastructure in the global banking industry, focusing on wholesale-level digital asset application scenarios rather than being retail speculation-oriented.

Standard Chartered Bank Malaysia is preparing to issue MYR stablecoin.

According to the current plan, Standard Chartered Bank Malaysia will serve as the issuer of the MYR stablecoin, responsible for the product's conceptual design, technical testing, and actual delivery; Capital A and its subsidiaries will participate in the co-development and testing of application scenarios, assessing the feasibility of future pilot trials under regulatory approval. Both parties hope to explore the efficiency advantages of stablecoins in corporate settlements, fund management, and cross-system payments through real-world scenario validation.

The core objective of this project is to support Malaysia in promoting “responsible innovation” in the digital asset space. Compared to highly volatile crypto assets, stablecoins priced in local currency are seen as potential tools to enhance domestic liquidity, reduce settlement costs, and improve operational efficiency within a compliant framework, and also contribute to the development of more programmable next-generation financial services.

The Digital Asset Innovation Hub (DAIH) of Bank Negara Malaysia has established a regulatory environment.

The Digital Asset Innovation Hub (DAIH) established by Bank Negara Malaysia provides a platform for testing and dialogue, allowing regulators and industry players to collaboratively design and validate innovative solutions in a controlled environment. This aims to accumulate policy and practical experience, providing a basis for developing a more comprehensive regulatory framework in the future, ensuring a balance between financial innovation and risk management.

Capital A CEO Tony Fernandes stated that the future of finance will inevitably move towards digitization. This signing of the letter of intent is not only a technical collaboration but also an important milestone in the group's transformation. He pointed out that by testing the ringgit stablecoin under the DAIH framework, Capital A has the opportunity to achieve real-time settlement, more efficient fund allocation, and programmable cash flow in its business operations, thereby improving the way it serves customers and partners.

Mak Joon Nien, CEO of Standard Chartered Bank Malaysia, emphasized that Standard Chartered has been deeply rooted in Malaysia for over 150 years, always supporting national development through innovation. Digital assets have become an important part of Standard Chartered's global strategy, and this partnership with Capital A to enter the stablecoin sandbox demonstrates the bank's long-term commitment to participating in and shaping the future financial framework, promoting a more inclusive financial system.

In the future, Capital A and Standard Chartered Bank Malaysia will conduct in-depth evaluations of technical feasibility, regulatory requirements, and business models under the DAIH mechanism. Overall, this collaboration not only reflects the role transformation of enterprises and banks in the digital asset field but also highlights Malaysia's attempt to pave the way for the upgrade of local and even regional financial infrastructure through regulated innovative experiments.

Introduction to Capital A

Capital A is an investment holding company with a diverse portfolio of airlines and travel businesses, leveraging data and technology to drive growth. Its core businesses include the low-cost airline AirAsia (AirAsia), Capital A Aviation Services Group, AirAsia MOVE (formerly AirAsia Super App), fintech company BigPay, as well as logistics company Teleport and brand development company Abc.

This article discusses the collaboration between AirAsia's parent company Capital A and Standard Chartered Bank Malaysia for the issuance of MYR stablecoin, which first appeared in Chain News ABMedia.