The Indonesian government has unveiled the country’s cryptocurrency exchange and clearinghouse to increase oversight of the cryptocurrency sector as well as improve investor protection in the country.
The launch of the new crypto-asset exchange follows the initial announcement in 2021.
The National Crypto Exchange is finally launched
Cryptocurrency exchange in Indonesia, which seem The operations come earlier in the week according to the country’s Commodity Futures Trading Regulatory Agency (Bappebti), in the midst of the government’s transition in regulatory oversight.
In November 2022, Indonesian Finance Minister Sri Mulyani Indrawati revealed that the government was planning to transfer the authority to regulate and supervise cryptocurrency investment to the Financial Services Authority (OJK). Papipity and the Ministry of Commerce were responsible for overseeing cryptocurrency activities in the Southeast Asian country.
Speaking about the new exchange, Papepte President Dedede Nordiantmoko said in a statement that the exchange will be managed by PT Bursa Commodity Nusantara, while PT Clearing Berganca Indonesia will handle the liquidation of transactions, with PT Tenet Depository appointed as the crypto-asset storage manager.
There were initial plans to launch a national digital asset exchange in 2021, but there were delays that prevented the project from taking off. Later in September 2022, Indonesia’s Deputy Trade Minister Jerry Sambuaga stated that there are plans to launch the exchange at the end of the year.
With the crypto-asset exchange now operational, the government said it would give regulators access to transaction records and ensure strong protections for investors. Meanwhile, the country’s new crypto-asset exchange will list existing licensed crypto firms, including Tokocrypto, which was acquired by Binance in December 2022, and Indodax.
Indonesia records nearly 18 million Crypto investors in June
Indonesia, which banned cryptocurrency payments in 2021, has seen a rise in cryptocurrency investments allowed in the country. According to Reuters, 17.5 million Indonesians have invested in cryptocurrency as of June, much higher than investors in the stock market.
However, economic factors such as rising global interest rates have recently dampened investor enthusiasm for cryptocurrencies. Crypto transactions between January and June decreased to 67.8% compared to the same period in 2022. Meanwhile, the most traded assets among Indonesians include Bitcoin, Ether, Binance Coin, XRP, and Stablecoin Tether.
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