Malaysia Rolls Out Tokenised Bond Platform for Around-the-Clock Settlement

The Malaysian central bank has introduced a securities platform based on distributed ledger technology that is capable of issuing tokenised bonds and Islamic sukuk, and is integrated with 24/7 payment settlement. In a press release issued on October 20, 2021, Bank Negara Malaysia (BNM) stated that SSDS+ is an innovation that was created within the organisation through cloud and distributed ledger technologies. The SSDS+ system is responsible for the issuance, depositing, and safekeeping of digital debt securities, with all transactions recorded electronically. The central bank created the system based on the existing Scripless Securities Depository System, which caters to Malaysia's wholesale financial market.  

Malaysia Connects Digital Securities Records With Its Central Bank Settlement System 

The new infrastructure links straight into RENTAS+, which is the new name of the real-time settlement system of the country. While SSDS+ stores information on securities, RENTAS+ deals with the payment side of bond buying, using central bank money. According to BNM, it enables settlement and payment service functions to be executed at any time of day, including beyond the regular banking hours.

Whereas most existing setups work with private stablecoins and other payment tokens, the newly introduced settlement method employs central bank money. The ownership of securities and transfer of payments take place using two interlinked systems.

The central bank sees digital records as simplifying transactions and increasing the ability of the issuer to design financial products. The system is designed for the wholesale market, but it can be used for tokenising government securities and corporate retail bonds.

BNM governor Abdul Rasheed Ghaffour said that the launch was a significant step for the country's financial infrastructure. “Together, SSDS+ and RENTAS+ provide a secure, faster, more flexible and digitally-enabled foundation for new use cases in securities and payments,” he said. 

The securities issue is based on Malaysia's effort to upgrade its current interbank payment systems. In October 2025, BNM launched RENTAS+, which allows banks to continuously move and settle money for all year round. The new system was an upgrade of Malaysia's real-time gross settlement system, as it eliminates the limitation of fixed daily settlement periods for selected interbank payments.

Earlier in May, similar to Malaysia, the Bank of England (BOE), along with the Financial Conduct Authority (FCA), proposed extending operational hours for its core settlement infrastructure to near-24/7 availability, making it a part of an extensive effort to prepare the UK wholesale markets for tokenised finance. The BOE also added that as tokenisation develops, extended operating hours would assist cross-border payments and new payment and settlement models.