The Indonesian government is set to launch a crypto exchange later this year, a senior government official has revealed. “We will ensure that all requirements, procedures and necessary steps are taken,” he stressed.
Crypto Bourse is coming soon in Indonesia
Indonesia’s government plans to launch a crypto bourse by the end of the year, Delstratasia reported on Wednesday, citing Indonesia’s Deputy Trade Minister Jerry Sambuga.
Speaking on the sidelines of WIR Group’s NXC International Summit 2022 in Bali, the commerce minister explained that the crypto bourse initiative is part of the government’s efforts to protect consumers amid rising demand for digital currencies.
Originally set to launch in 2021, the launch of the bourse has been postponed due to the complexity of the process, the publication said.
Minister Sambuga said, “We will ensure that all requirements, procedures and necessary steps are taken. “This is proof that we are careful. We don’t want to be in a hurry because it will cause us to miss something. He explained.
Bure requires a lot of preparation to create. We need to see which elements should be included in the bag.
“Secondly, we have to verify the specified entities,” the government official continued. “Thirdly, there are low capital and other requirements related to deposit, technical stuff.”
TokoCryto CEO Pang Zhu Kai believes that the crypto bourse will help increase the number of participants in the crypto sector and interest from institutional investors. TokoCryto is one of 25 cryptocurrency exchanges licensed by Indonesia’s Commodity Futures Trading Regulatory Agency (Bapebti).
Additional comments:
The industry will grow, we will start seeing more local projects.
Indonesia allows trading of crypto assets as a commodity but does not recognize crypto as a means of payment. In April, Indonesia’s Directorate General of Taxation announced that it has set Income Tax (PPh) on crypto investments and Value Added Tax (VAT) on crypto purchases at 0.1%.
In January, Indonesia’s Financial Services Authority (OJK) warned that financial firms would not be allowed to offer and facilitate the sale of crypto assets. However, the country’s trade minister, Mohamed Lutfi, said in September last year that the Indonesian government will not ban cryptocurrencies as China has done. However, Indonesia’s top Islamic body, the country’s Sharia Law Authority, has declared the cryptocurrency haram, which is prohibited for Muslims under Islamic law.
Crypto transactions in Indonesia grew 1,224% to 859.4 trillion rupiah ($57.5 billion) in 2020, compared to 64.9 trillion in 2020. In the first six months of this year, there were 15.1 million crypto users in Indonesia, trading 212 trillion rupiah worth of cryptocurrencies.
What do you think about the Indonesian government launching a crypto exchange? Let us know in the comments section below.
Image credits: Shutterstock, Pixabay, Wiki Commons
DisclaimerThis article is for informational purposes only. It is not an offer or solicitation to buy or sell, or a recommendation or endorsement of any products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the Company nor the Author shall be liable, directly or indirectly, for any damages or losses arising out of the use of or reliance on any content, goods or services referred to in this paragraph.