Thursday 22 Feb 2024
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KUALA LUMPUR (Aug 6): MyEG Services Bhd will be introducing decentralised finance (DeFi) products in Malaysia to provide cryptocurrency services to users of digital asset exchanges which are licensed as recognised market operators locally and abroad.

In a statement, MyEG said the service will enable holders of cryptocurrency to enter into smart contracts for the purposes of borrowing cryptocurrency or lending against their cryptocurrency assets.

“As digital assets become increasingly mainstream and more widely-used, DeFi services will allow holders of cryptocurrency assets to maximise the returns on their investments.

“Leveraging on a proven financial technology (fintech) platform, DeFi uses blockchain technology — in particular, cryptocurrencies and smart contracts — to enable the provision and settlement of transactions such as borrowing and lending without the need for conventional intermediaries,” said the group.

MyEG said it expects to introduce more pioneering products and services based on blockchain technologies, as it believes that all types of assets will eventually be digitalised on a decentralised or multi-centred platform.

It added that blockchain technology is suited for government services as it provides immutability and enables tracking and verification.

According to Securities Commission Malaysia’s website, there are four licensed recognised market operators in Malaysia currently, namely Luno Malaysia Sdn Bhd, MX Global Sdn Bhd, SINEGY Technologies (M) Sdn Bhd, and Tokenize Technology (M) Sdn Bhd.

MyEG’s share price rose two sen or 1.3% to close at RM1.59, giving it a market capitalisation of RM5.84 billion.

Edited ByS Kanagaraju
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