Does this apply to me?
Only if your Luno account is verified in Malaysia.
If you have reached your annual FEP investment limit, you must obtain prior approval from the Central Bank of Malaysia before performing any further foreign sends.
Without approval, you won’t be able to perform any further foreign sends until 1 January the next calendar year (when the limit resets).
Tip
Not sure how the foreign exchange limit works? Read more on what foreign exchange information is and why Luno needs it.
How is my limit determined?
Declaring DRB (Domestic Ringgit Borrowing):
Once you declare DRB as “Yes”, your annual DRB limits apply to all sends you made in that calendar year. This means your available limit may suddenly reduce, even for past transactions.
If you’re a market-maker:
If you’re a market maker, the limit is based on net outflow (crypto sends minus crypto receives).
Keep in mind
Once you declare DRB in a calendar year, the applicable limit is enforced across all your foreign sends made in that year. This means that your DRB status applies retroactively to earlier transactions within the same year. This can make it seem like your available limit has suddenly reduced.
What are the FEP limits?
- Individuals, Sole Proprietors, Partnerships with DRB: RM1,000,000 per calendar year
- Other Resident Entities (Sdn Bhd, LLPs, etc.) with DRB: RM50,000,000 per calendar year
- Market makers with DRB: RM50,000,000 per calendar year, but calculated based on net outflow (crypto sends minus crypto receives).
What to do next
If you’ve exceeded your limit, you need to contact the Central Bank of Malaysia and apply for an approval letter to increase your limit for investment in foreign currency assets.
You’ll need to provide us with an approval letter from BNM before you can send any more crypto, or you’ll have to wait until the next calendar year for your limit to reset (limits reset on the 1st of January every year).
If you believe your DRB status has changed (e.g. you’ve fully repaid your borrowings), you may need to provide official evidence to Luno and our banking partners. This is subject to regulatory approval.
How to apply for an approval letter from BNM
- Register for an account on BNM's Foreign Exchange Policy portal
- You'll receive an email from BNM once you've registered. Activate your account by following the link in that email
- Go to the login page and sign in with the email and password you provided when registering
- Enter the OTP sent to your email
- On the FEP portal, select Administration then Update Applicant Profile
- Expand the Details of Entity section and select the plus sign
- Fill in at least the required fields, then select Save
- At the top of the screen, select Application then Submit application
- In the Form Selection window, select Investment Abroad, add the IA-OT form for Others (Including Portfolio), then Confirm
- Complete your application and press Submit to send it to BNM for review
- When you’ve received your approval letter from BNM, you can send it here
We’ll confirm the approval and notify you when crypto sends have been restored to your account.
Tip
Learn how to use BNM’s foreign exchange portal.
We’ll review your BNM letter and let you know what the outcome is. There are three possibilities:
Unfortunately, your request for custom limits has been denied. You won’t be able to send more crypto to foreign exchanges for the rest of the year, until the limit resets with the start of the new calendar year.
Your request for custom limits have been approved. We’ll notify you once crypto sends have been restored to your account, and let you know what your new limit is.
Your request for custom limits have been approved. You will not have any limit on the amount of crypto you can send to a foreign exchange.
Note
Updated send limits only apply for the rest of the year. When the new calendar year starts, your limits will be reset to the original threshold.