Yes, Malaysia is on Etsy's list of countries where Etsy Payments works directly, with no Payoneer account needed. Etsy supports Malaysian ringgit (MYR), and deposits follow the country of your bank account.
Malaysia is one of the easier countries to sell on Etsy from, because Etsy Payments works there directly. There's no Payoneer detour and no US dollar middleman: Malaysia is on Etsy's eligible list, and the ringgit is one of the currencies Etsy supports. Here's what that means for opening a shop, getting paid and not losing margin to small fees.
Why Malaysia sits in the simple group
Etsy sorts its eligible countries into two groups. Some, marked with an asterisk, route payments through Payoneer. Malaysia isn't one of those. It appears on Etsy's main list of countries where Etsy Payments is available directly, alongside most of the countries Etsy supports.
Etsy's rule is that your shop must be located in an eligible country, with a residential address and a valid bank account there. Where Etsy Payments isn't offered, new shops can't open. For a seller in Kuala Lumpur, Penang or Johor Bahru, that rule works in your favour.
Ringgit in, ringgit out
Etsy Payments supports Malaysian ringgit, using the code MYR. Etsy's help centre says the currency of your deposits follows the country where you hold your bank account, so a Malaysian bank account means ringgit deposits. The ringgit is issued by the Central Bank of Malaysia and divided into 100 sen.
A few currency points worth knowing:
- Etsy issues deposits in your Payment account currency, even if your bank account's currency is different.
- If your listing currency differs from your payment account currency, Etsy charges a 2.5% conversion fee.
- If you don't pick a currency, the shop default is United States dollars, so check your settings early.
- Etsy Payments lists 22 supported currencies, and MYR is among them.
Here's the practical upshot. A Malaysian seller never has to open a second account just to receive Etsy money, which saves a layer of paperwork and a layer of conversion cost compared with sellers in the Payoneer countries. It also means the money in your bank statement is the same currency Etsy paid out, so reconciling your books is far simpler.
In practice, listing in ringgit keeps things neat for Malaysian buyers, but most of your customers will be abroad. Think about whether you want your prices shown in dollars, pounds or euros for them, and remember that a mismatch with your payment account currency attracts the conversion fee.
Fees a Malaysian shop owner should price in
Etsy's fee help lists the payment processing fee for Malaysia as 4.5% + 2 MYR. That fixed ringgit part hurts cheap items most, so a very low-priced listing loses a bigger slice than a premium one.
There's also a small-deposit charge. Etsy's fee help lists 8.00 MYR for deposits of less than 400.00 MYR in Malaysia. The easy fix is to choose a deposit schedule that lets your balance build up rather than paying out tiny amounts again and again. Etsy deposits daily, weekly, biweekly or monthly, and says deposits are generally credited within five business days of Etsy starting the request.
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Setting up, verifying and getting paid
- Open the shop and choose Malaysia as your bank country. Etsy ties your shop country to that choice.
- Give your identity details. Etsy asks individuals to verify identity and, in certain locations, supply a tax number.
- Add your Malaysian bank account. For non-US accounts Etsy uses a test deposit or a bank document review to verify it.
- Finish verification in time. Etsy says you usually have 30 days to begin and 60 days to complete after your first sale, or the shop risks suspension.
- Expect a short wait. After a bank account is verified, Etsy holds funds for 5 days.
The name on the bank account has to match the name or business entity stored on your shop's Legal and tax information page. If you run the shop as a sole trader, use your own name consistently everywhere.
Where Malaysian sellers lose money or time
- Selling low-value items without checking the 2 MYR fixed fee.
- Letting small balances pay out and triggering the deposit charge.
- Mixing up the name on the shop and the name on the bank account, which delays verification.
- Ignoring tax. Etsy asks for taxpayer details as you near the relevant thresholds. I'm not a tax adviser, so please speak to a local accountant about Malaysian tax on your Etsy income.
Quick check: Etsy routes for Malaysian sellers
| Route | Available in Malaysia? | Source checked |
|---|---|---|
| Open a shop with Etsy Payments | Yes, directly | Etsy eligible countries list |
| Payout in ringgit to a Malaysian bank | Yes, MYR is supported | Etsy currencies help page |
| Payoneer needed | No, Malaysia isn't on the Payoneer list | Etsy eligible countries list |
| Small-deposit charge | Yes, 8.00 MYR under 400.00 MYR | Etsy fee help |
Pairing Etsy with other Malaysian income
Because Etsy sales are mostly to overseas buyers, a lot of Malaysian shop owners use social video to bring people in. I've covered what that can look like in my pieces on TikTok pay in Malaysia and YouTube pay in Malaysia. If you'd rather compare ways to start, the walkthrough of selling on Etsy from Egypt shows how the Payoneer route differs from yours.
Frequently asked questions
Can I sell on Etsy from Malaysia?
Yes. Malaysia is on Etsy's list of countries where Etsy Payments is available directly, so you can open a shop with a Malaysian address and bank account.
Does Etsy pay out in Malaysian ringgit?
Yes. Etsy Payments supports MYR, and the currency of your deposits follows the country of your bank account.
What is the Etsy payment processing fee in Malaysia?
Etsy's fee help lists 4.5% + 2 MYR for Malaysia, with a small-deposit charge of 8.00 MYR on deposits under 400.00 MYR.
Do I need Payoneer in Malaysia?
No. Payoneer is for the asterisked countries on Etsy's list, and Malaysia isn't among them.
How long are funds held after my bank is verified?
Etsy says funds are held for 5 days after a bank account is verified, and deposits are generally credited within five business days of Etsy starting the request.
