Understanding how Luno Malaysia lists and delists digital assets

At Luno, our mission is to upgrade the world's financial system, but we believe in doing so safely and transparently. To protect our customers and stay compliant with Malaysian regulations, we follow a strict Digital Asset Listing and Delisting Framework. This guide explains how we decide which assets make it onto our platform and what happens if we ever need to remove one.

How we choose digital assets

We don’t just list any asset. Every potential addition to Luno Malaysia goes through a comprehensive five-stage evaluation to ensure it meets our high standards for security and reliability:

1. Nomination: Our team of experts identifies assets that align with our strategic goals and user needs.
2. In-depth assessment: A specialised team conducts a deep dive into the asset’s technical robustness, legal standing, liquidity, and compliance.
3. Governance approval: The Digital Asset Selection Committee (DASC) and the Local Approval Committee review all findings to make a final decision based on the platform's integrity and user interests.
4. Implementation: We set up the necessary technical infrastructure and ensure all security conditions are met before you can trade.
5. Ongoing monitoring: We perform periodic re-evaluations (at least once a year) to ensure listed assets remain safe for our community.

Understanding asset categories: The "Boards"

To help you manage risk, we categorise assets into different "Boards" based on their maturity and risk profile:

1. Main board: For mature assets with a proven track record, high liquidity, and at least one year of public trading history.
2. High-risk boards (Memecoins and Exchange Tokens):

• Memecoins: Assets driven by community sentiment and cultural trends.
• Exchange tokens: Tokens native to specific trading platforms (like BNB or UNI).

• Prohibited assets: In accordance with Malaysian regulatory guidelines, Luno Malaysia does not list Privacy Coins (which hide transaction flows) or Stablecoins at this time.

Public disclosures and transparency

We believe an informed customer is a safer customer. For every asset listed, we provide:

• Operational descriptions: Detailed history of the asset, including any known security failures or hacks.
• Trading history: Volume and price history so you can understand market volatility.
• Token ownership: Insights into token distribution and ownership concentration, where that data is publicly available.

When and why we delist assets

Sometimes, an asset no longer meets our standards due to regulatory changes, security vulnerabilities, or project abandonment. If we decide to delist an asset, we follow a structured path to protect your holdings:

1. Advance notice: We will provide you with reasonable notice so you can decide how to manage your balance.
2. Trading restrictions: We will first disable the "Buy" option to prevent new exposure.
3. Exit support: We will offer guidance to help you sell your holdings or transfer them to a private wallet where permitted.

Exceptional Circumstances: Automatic Conversion

In extraordinary situations where leaving an asset in your account might pose a significant risk (such as extreme liquidity issues, security breaches, or if you fail to move an asset after a long notice period), Luno may implement an automatic conversion.

In these cases, your holdings would be converted into Malaysian Ringgit (MYR), which is our default conversion option or another stable asset to safeguard your value. We will always communicate the reasons and timing of such a move clearly via email and our website.

Conclusion

At Luno Malaysia, our Digital Asset Listing and Delisting Framework is more than just a set of rules; it is our commitment to maintaining a secure, fair, and transparent environment for your crypto journey. By applying ongoing risk assessments, strong governance, and clear communication, Luno aims to support a secure trading environment while meeting our regulatory obligations and keeping customers informed at every stage.