Malaysia Securities Commission Appoints LCWD as First Social Exchange Platform Operator for Impakrintas Launch

The Securities Commission Malaysia (SC) has named LC Wakaful Digital Sdn Bhd (LCWD) as the inaugural operator of the nation's first Social Exchange Platform.

LCWD will establish and manage Impakrintas, a transparent platform enabling non-profit organizations to secure donations for impactful social projects while offering donors clear visibility into fund usage.

Historical Development and Regulatory Framework

This milestone follows Prime Minister's announcement of the Social Exchange initiative in May 2024 and a successful pilot program by SC in early 2025.

The Guidelines on Social Exchange Platforms were issued on September 19, 2025, paving the way for operator registrations under section 76A of the Capital Markets and Services Act 2007.

Launch Details and Initial Scope

Impakrintas is set to go live on February 19, 2026, kicking off Phase 1 with direct cash donations eligible under subsection 44(6) of the Income Tax Act 1967.

Initially, six non-profits will join, featuring projects on healthcare access, youth education, food security, livelihoods, and environmental sustainability.

Broader Impact and Future Expansion

SC Chairman Mohammad Faiz Azmi emphasized that the platform institutionalizes trust in social finance, empowering non-profits to amplify their reach.

As part of the Capital Market Masterplan 2026-2030 (CMP), it fosters a collaborative, whole-of-nation push for economic resilience through social impact financing.

Donations will enjoy tax benefits under key Income Tax Act provisions, incentivizing donor participation.

SC plans to evaluate Phase 1's market uptake and platform viability before approving additional operators or broadening to capital market instruments in future phases.

This development positions Malaysia at the forefront of innovative, regulated social financing solutions.