As governments around the world start to embrace digital currencies, the crypto market is experiencing significant growth. Adding to this trend is Indonesia, which has recently announced the operation commencement of its national cryptocurrency exchange. On July 20, the Commodity Futures Trading Supervisory Agency [CFTRA] officially kicked off the exchange, a historic event in the nation’s financial landscape.
Delays and Finally, a Launch
Initially slated for a late 2021 debut, the government experienced delays. The most recent setback happened in February 2023. Regardless, on July 17, the Nasdaq-style cryptocurrency exchange finally began operating.
As part of the exchange set up, the CFTRA decree called for the establishment of a Futures Clearing House. This crucial intermediary is charged with facilitating smooth transactions between buyers and sellers. Speaking on this development, Didid Noordiatmoko, the head of Indonesia’s Commodity Futures Trading Supervisory Agency [Bappebti], stated,
“The creation of exchanges, clearing houses, and crypto asset storage managers demonstrate the government’s commitment to fostering a fair and transparent crypto asset trading environment. This initiative guarantees legal certainty and prioritizes public protection as customers.”
Implication for Existing Indonesian Exchanges
At the start of the year, Indonesia had around 383 tradable crypto assets and 10 local coins. Bappebti was also reviewing an additional 151 assets and 10 coins at that time.
However, this latest platform is now the only authorized venue for legal crypto exchange in the country. Interestingly, this platform’s regulatory framework aims to align domestic transactions with global market trends. Licensed traders have been given a one-month registration window on the exchange, anticipating a swift response from Indonesia’s existing crypto community.
