1. Mr Adrian Sim
Co-founder & CEO of Lydian Labs
2. Dr. Ian Tan
Co-founder & COO of Lydian Labs
3. Ms Noelle Lee
Co-founder & CRO of Lydian Labs
4. Raymond Siva,
Senior Vice President Digital Investment, Malaysia Digital Economy Corporation
Esteemed guests, Members of the media, Ladies and gentlemen.
Good afternoon, Salam Perpaduan, and Salam Malaysia MADANI.
1. A very warm welcome to all of you on this exciting second day of Malaysia Blockchain Week 2024!
2. The energy and enthusiasm here at this event are truly palpable. Over the past two days, I hope you have all explored or been enlightened by the transformative potential of blockchain technology, as well as participated in vibrant exchange of ideas and forged some valuable connections.
3. The global adoption of blockchain technology has made its impact in Malaysia – evolving from just investing as a use case through cryptocurrency to tangible real-world applications.
4. Malaysia has witnessed remarkable growth and transformation in recent years, driven by our commitment to legitimise this space. In fact, back in 2019, the Ministry of Finance had introduced regulations on digital assets that are backed by blockchain technology. Subsequently, the Securities Commission of Malaysia introduced guidelines to regulate digital asset exchanges under the Recognised Market Operator (RMO) framework, to ensure that tokens created by blockchain technology can be accessed and traded by Malaysians legally in a safe and compliant environment.
5. As a result, it is reported that as of today, more than 840,000 Malaysians have opened an account with regulated digital asset exchanges (DAX), making up over 72% of the investor segment. Digital asset adoption in Malaysia has also grown rapidly over the past three years.
6. In 2021, based on data published by the Securities Commission, a total of approximately RM21 billion of digital assets were accessed and traded across all registered DAXs, compared to just RM1.4 billion in 2020 – signaling a remarkable growth in adoption of blockchain technology backed assets in just one year. These are just reported figures, I believe the real numbers could be higher.
7. As the demand for digital services backed by blockchain technology grew, the Securities Commission also introduced new guidelines to enable innovative companies to fundraise through issuance of digital tokens, allowing registered Initial Exchange Offering (IEO) operators to provide an alternative avenue for Malaysian companies that adopt blockchain technology to raise funds in Malaysia.
8. Enabling these platforms have broadened Malaysians' access to blockchain technology which cultivates a digital ecosystem for innovation and entrepreneurship.
9. Our nation has become a home to a thriving tech community, a robust digital infrastructure with a diverse talent pool.
10. According to Custom Market Insights (CMI), blockchain technology market size was estimated at USD 4.8 billion in 2022 and is expected to hit around USD 69 Billion by 2032 globally. Therefore, as we navigate the dynamic landscape of the Fourth Industrial Revolution, Malaysia needs to continue to embrace emerging technologies such as blockchain and artificial intelligence (AI) in order to create new value propositions to not just serve Malaysia’s needs, but the needs of users globally.
11. According to the World Economic Forum (WEF), the digital economy is the driving force behind new value creation, projected to contribute 70% of all new value in the coming decade. The Government has placed significant emphasis on nurturing our digital economy, noting that digital now constitutes nearly a quarter of Malaysia’s Gross Domestic Product (GDP), highlighting its growing importance in our national economic landscape.
12. The Ministry of Digital remains steadfast in our commitment to supporting the growth of this ecosystem. Through Malaysia Digital Economy Corporation (MDEC) and the Malaysia Digital (MD) national strategic initiative, we are dedicated to positioning Malaysia as a leader in the digital economy, ensuring long-term, sustainable growth for the blockchain industry.
13. Aligning with the goals of the MADANI Economy that was launched by the Prime Minister, we have implemented forward-thinking policies and initiatives to foster digital innovation, create an enabling ecosystem, and attract investments that will drive our digital economy forward.
14. In Q1 2024 alone, 193 companies were awarded the Malaysia Digital status, half of which are infotech companies leveraging on technologies like blockchain, Web3, and AI.
15. Rest assured that the MADANI government is very focused on ensuring Malaysia’s attractiveness as a location of choice for digital technology companies to land and expand in ASEAN, including providing a stable political environment and investor-friendly policies and facilitation.
Ladies and gentlemen,
16. The Malaysia Blockchain Week 2024 is a testament to our nation's commitment to being at the forefront of this technological revolution. I am proud to share that Malaysia is now listed among the top 10 crypto-friendly destinations for digital nomads and companies. This is due to Malaysia’s unique talent pool where the cost of hiring Malaysians is more effective as compared to some of our neighbouring countries. Malaysians are also multilingual, which enables global companies to leverage on our talent pool to serve their customers globally.
17. These global exchanges combined together, facilitate USD 12 billion in daily trading volume to users globally. Their decision to hire more than 1,000 Malaysians to serve their global user base reflects our position not just as a platform for discussions, but as a place where ideas are transformed into tangible solutions that serve the global markets.
18. Throughout this week, we have witnessed the vibrancy of Malaysia's blockchain ecosystem. The convergence of innovative startups and established industry leaders has created an environment ripe for groundbreaking advancements.
19. The spirit of collaboration that has defined this event is truly inspiring. It is a testament to the power of collective action in unlocking the immense potential of blockchain technology. Through partnerships and open dialogue, this event has facilitated the exchange of ideas and fostered innovation, demonstrating that collective efforts can drive significant advancements in the blockchain industry.
Distinguished guests,
20. Experts predict that blockchain technology will be a significant driver of economic growth for Malaysia. To paraphrase the legendary Satoshi Nakamoto’s sentiment, “If you're not convinced or don't see the potential of blockchain, I'm afraid I won't be able to change your mind.” By harnessing blockchain’s potential across various sectors, we can create new opportunities, boost efficiency, and solidify our position as a leading digital economy.
21. The impact of blockchain extends beyond economic benefits. It has the potential to revolutionise industries, enhance transparency and security in governance, and empower individuals through self-sovereign identity. This technology enables individuals to manage their digital identities securely, reducing the risk of identity theft and providing greater privacy.
22. As we embrace blockchain, we must also ensure our workforce is equipped with the necessary skills to thrive in this new landscape. By investing in training programmes and initiatives, we can bridge the skills gap and empower Malaysians to become leaders in the blockchain revolution. The MD Workforce Training and the MD Workforce Place & Train initiatives by MDEC are some examples of the government providing incentivised training programmes for Malaysian talent to acquire digital skill sets and increase their employability.
Ladies and gentlemen,
23. As we look towards the future, let us remember that collaboration is the cornerstone of success. By working together – government, industry, and innovators – we can unlock the immense potential of blockchain technology and propel Malaysia to the forefront of the global blockchain landscape.
24. Malaysia Blockchain Week 2024 has been a resounding success, and the momentum we've built here will serve as a springboard for continued progress. Together, let's build a blockchain-powered future for Malaysia that is innovative, inclusive, and drives us towards a brighter tomorrow.
Thank you once again for having me here today. I wish you all the best.
