KUALA LUMPUR (Aug 1): Malaysia has emerged as one of the top 10 crypto-friendly destinations for digital nomads and companies, said Digital Minister Gobind Singh Deo.

The minister said this is due to the country’s unique talent pool, adding that the cost to hire local workers is more competitive compared to those of neighbouring countries.

Malaysians' multilingual capabilities also enable global companies to serve their international customers effectively, he said.

"In the first quarter of 2024, 193 companies were awarded the Malaysia Digital status, half of which were infotech companies leveraging technologies like the blockchain, Web3, and artificial intelligence (AI)," he said in his keynote address at the Malaysia Blockchain Week 2024 on Thursday.

Gobind said Malaysia must continue embracing emerging technologies such as the blockchain and AI to create new value propositions.

Citing Custom Market Insights, he said the global blockchain technology market size was estimated at US$4.8 billion (RM21.93 billion) in 2022, and is expected to hit around US$69 billion by 2032.

"Experts predict that blockchain technology will be a significant driver of economic growth in Malaysia. By harnessing the potential across various sectors, we can create new opportunities, boost efficiency, and solidify our position as a leading digital economy," he added.

Gobind also noted that the Securities Commission Malaysia had introduced guidelines to regulate digital asset exchanges under the Recognised Market Operator framework.

The guidelines ensure that Malaysians can access and trade tokens created by blockchain technology legally in a safe and compliant environment.

"As a result, more than 840,000 Malaysians have opened an account with regulated digital asset exchanges to date, making up over 72% of the investor segment," he said.