SC Selects Six Firms For Inaugural Capital Market Sandbox

KUALA LUMPUR, Nov 26 (Bernama) -- The Securities Commission Malaysia (SC) has selected six participants for the inaugural cohort of its regulatory sandbox.

Launched at the SCxSC Fintech Summit last year, the sandbox aims to foster capital market innovation by allowing firms to experiment with new products and services that enhance the vibrancy and inclusiveness of the market.

SC chairman Datuk Mohammad Faiz Azmi said the initiative serves as a launchpad for responsible innovation, enabling solutions that deliver meaningful value to the capital market.

“This initiative reflects our commitment to creating an environment where innovation can thrive without compromising investor protection.

“By encouraging experimentation within a controlled framework, the SC aims to nurture forward-thinking ideas that strengthen market efficiency,” he said in a statement.

The SC said applications, open from April 15 to May 31, 2025, drew a strong response from a diverse range of market participants.

Following a multi-stage evaluation, the commission selected six participants across three core themes, including facilitating alternative real estate investments.

The inaugural cohort will pioneer advancements in these areas, with several participants also leveraging advanced data analytics and blockchain to enhance due diligence and introduce new operating models.

“The successful participants will have a testing period of approximately 12 months to deploy and assess their solutions in accordance with defined parameters. 

"Testing will commence in two batches, with participants starting based on their readiness, either in January 2026 or July 2026,” the SC said.

-- BERNAMA