Malaysia is located in southern Asia, largely in two parts. One part shares an island with Indonesia, and the other part is attached to the southern end of Thailand with the Andaman Sea to the west and the Gulf of Thailand to the north.
Overview
Gambling on the Internet is not illegal in Malaysia. However, operating a business of online gambling is illegal in this country. This is a very atypical arrangement, and it's largely a result of the influence of Sharia law in the country.
Something worth mentioning is that some gambling laws from 1953 could eventually be interpreted to ban online gambling at some point, but there's been no real interest in going after it. Simply put, politicians have shown no interest at all in changing the status quo when it comes to online gambling (or gambling in general) in Malaysia, and they seem to have a lot of focus on other things for the time being.
Licensing
Since no games can be operated from Malaysia, there is no licensing process in the country. The influence of Sharia law is largely what keeps this from happening, though they do have a somewhat liberal influence that keeps players in a position where they're able to play.
What's really interesting is that they don't really seem to have any interest in creating a regulatory body to license the games and build revenues from play that's happening by their citizens anyway. Unlike many unregulated environments where there's a lot of political chatter about the subject, the Malaysian government really just doesn't seem to care.
Player Protections
For players that enjoy foreign online gambling sites, there are no enforcement mechanisms or issues that are going to keep them from enjoying the games. With that having been said, there are also no player protections from the government. Because of this, it's best for individuals to stick with online casinos and other gambling sites that have a good history of taking care of their players. This includes being reliable with quick cash outs and having solid customer service. It's not hard to find the reputation of a site in today's online environment, and it's highly-suggested that you do before playing from Malaysia since there are no government-mandated protections.
Further Reading
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