Indonesia plans to launch a cryptocurrency exchange this year before transferring its regulatory powers over cryptoassets from a commodity agency to the Financial Services Authority. Crypto assets in Indonesia are currently traded alongside commodity contracts under the oversight of the Commodity Futures Trading Regulatory Authority known as Bappebti.
Didid Noordiatmoko, acting chairman of Bappebti, said today that as part of a broader financial sector reform, the FSA will assume regulatory authority over assets over the next two years, and the exchange should be established by this time. Indonesia supports crypto assets, although it is wary of competing with the rupiah, the only legal tender in the country.
A recently passed law recognized cryptocurrency and digital assets as regulated financial securities, while the central bank published a white paper to map the digital currency.
Even though market activity has dropped over the past year, new investors continue to enter the crypto market. The number of crypto investors in Indonesia, which was 11.2 million at the end of 2021, reached 16 million in the first 11 months of the year. The transaction value fell to approximately Rupiah 300 trillion ($19.2 billion) during this period, well below the Rupiah 859 trillion seen in the previous year. There are currently 383 crypto assets and 10 native coins tradable in Indonesia, while there are 151 assets and 10 coins under review by Bappebti.