Kenanga’s Investment in Halogen Capital Signals Institutional Embrace of Digital Assets

Kenanga Investment Bank Bhd has taken a decisive step into Malaysia‘s fast-evolving digital asset space by emerging as the lead investor in Halogen Capital Sdn Bhd, the country’s first licensed digital asset fund manager.

The investment was made through Kenanga Private Equity Sdn Bhd, a wholly owned subsidiary of the group, following Halogen Capital‘s successful completion of a RM13.3 million funding round. While the exact value of Kenanga’s contribution was not disclosed, the bank secured the largest institutional stake at 14.9%, placing it at the centre of Halogens next stage of growth.

The funding round also attracted participation from global venture capital firm 500 Global and several other investors. Proceeds will be channelled towards expanding Halogen Capitals real-world asset tokenisation strategy, which spans onshore unit trust funds, bonds, sukuk, private credit and real estate. The focus reflects a broader push to bridge traditional financial instruments with blockchain-based infrastructure under a regulated framework.

Kenanga described the investment as a strategic milestone in building its wider digital asset ecosystem. The group has steadily increased exposure to digital-first businesses, including investments in KDX, Helicap and Merchantrade, as part of a longer-term shift towards technology-led financial services. Management views blockchain and tokenisation as tools that can improve market efficiency, widen access and strengthen global competitiveness, provided they are supported by strong governance and transparency.

For Halogen Capital, the funding marks an important endorsement of its institutional ambitions. Founded in 2023, the firm has positioned itself at the intersection of regulated fund management and digital assets. It was the first globally to launch shariah-compliant cryptocurrency funds and has since grown assets under management to approximately RM400 million as of November 2025.

Its flagship Halogen Shariah Bitcoin Fund has ranked among Malaysias top-performing funds, based on data from London Stock Exchange Group Lipper. The firm currently serves thousands of investors, ranging from high-net-worth individuals and family offices to corporates and institutions. Its offerings span eight wholesale funds and private mandates, distributed through a network of more than 15 partners.

Halogen Capitals leadership has pointed to a clear global shift in institutional behaviour. Corporate crypto treasuries now hold digital assets valued at more than RM744 billion, underscoring the scale of capital moving into the sector. Demand for regulated and professionally managed exposure has accelerated over the past three years, particularly among investors seeking compliance, risk controls and transparency.

Looking ahead, Halogen Capital plans to roll out new digital asset investment products, crypto yield solutions and tokenised securities backed by onshore Malaysian assets. These initiatives are expected to align closely with ongoing regulatory developments overseen by the Securities Commission Malaysia.