From Aviation to Digital Finance: AirAsia Teams Up With Standard Chartered Malaysia to Pilot Ringgit-Linked Stablecoin

AirAsia Founder And Standard Chartered Malaysia Explore Ringgit-Pegged Stablecoin

Malaysia is witnessing growing activity in regulated digital assets as two major players in aviation and banking join forces to explore a local-currency stablecoin.

Capital A, the parent company of AirAsia led by Tony Fernandes, and Standard Chartered Bank Malaysia have signed a letter of intent to jointly develop and test a ringgit-backed stablecoin through the country’s Digital Asset Innovation Hub.

How Will The Stablecoin Be Tested

The initiative will be piloted under the supervision of Bank Negara Malaysia (BNM), providing a regulatory framework for experimentation while mitigating systemic risk.

Standard Chartered Malaysia is expected to serve as the issuer of the token, leveraging its existing banking, payments, and compliance infrastructure.

Capital A and its ecosystem companies will focus on developing, testing, and piloting wholesale use cases, rather than retail applications.

Fernandes described the project as “a milestone in Capital A’s shift from an aviation-focused group toward a technology-led ecosystem,” highlighting the company’s evolving identity.

Capital A is currently transferring its AirAsia aviation operations to AirAsia X Bhd, after which it will operate as a non-aviation holding entity.

Why Malaysia Is Expanding Its Digital Asset Landscape

The move comes amid broader national efforts to integrate regulated digital currencies into Malaysia’s financial system.

The Digital Asset Innovation Hub allows fintech and digital asset companies to trial new products under BNM oversight.

Recently, the eldest son of Malaysia’s billionaire king launched a digital token pegged to the national currency, reflecting increasing institutional attention on ringgit-denominated stablecoins.

Last month, BNM unveiled a three-year roadmap to explore and test asset tokenisation across the financial sector.

This includes launching proof-of-concept projects, conducting live pilots, and establishing an Asset Tokenisation Industry Working Group to coordinate knowledge sharing and regulatory guidance.

How Capital A And Standard Chartered Are Positioning Themselves

For Capital A, the stablecoin represents its first foray into regulated digital assets.

By focusing on wholesale applications, the company aims to participate in financial infrastructure development without exposing itself to the volatility associated with unregulated tokens.

Standard Chartered Malaysia, in its role as issuer, extends its presence into tokenised forms of fiat currency, maintaining compliance with existing banking regulations.

Is Malaysia Keeping Pace With Global Digital Finance Trends

Malaysia’s recent initiatives reflect a cautious but deliberate approach to digital finance innovation.

By allowing experimentation under central bank oversight, the country seeks to modernise payments and capital markets while avoiding the risks linked to unregulated crypto markets.

The timing of Capital A’s stablecoin project, shortly after royal-backed token announcements, shows growing alignment between institutional actors and national digital asset ambitions.