Balaji Srinivasan freezes $122M Malaysia project amid residency probe

Srinivasan is seeking a memorandum of understanding or specific special economic zone provisions to solidify the project's status. In a direct address to Prime Minister Anwar Ibrahim, he emphasized that abstract support for technology is insufficient, requesting instead a written confirmation that his community members are personally welcome. He warned that absent such assurances, he is prepared to relocate the project’s capital to a more receptive jurisdiction.

The friction began after the activist group Malaysian Protest 4 Palestine alleged that the community was harboring Israeli nationals using secondary passports. While Malaysia strictly prohibits entry to Israeli passport holders, it lacks specific legislation regarding dual-citizenship holders entering on non-Israeli documents. Subsequent inspections by the Malaysian Immigration Department cleared all 266 foreign residents, confirming they held valid travel documentation from 40 different nations. Despite this, Srinivasan remains cautious, citing the need for greater legal certainty to prevent future disruptions to the community, which he launched in 2024 as a physical hub for founders and tech builders.