The Indonesia crypto exchange that was to launch by the end of 2022 will now go live in June. Zulkifli Hasan, the Indonesian trade minister, announced it during the opening ceremony for Crypto Literacy Month on February 2 in Jakarta. Hasan noted that the government is reviewing companies to select those that meet the criteria for joining the national exchange.
According to the minister, they targeted the crypto exchange’s launch by December 2022. Even during the NXC International Summit in September 2022, Indonesia’s deputy trade minister, Jerry Sambuaga, reaffirmed that the country still plans to launch its crypto exchange. But the preparation met delays as the government tried to ensure all requirements, procedures, and steps moved as planned.
Indonesian Nat’l Exchange To Serve As Custodian, Mediator For Private Exchanges
According to local reports, Hasan said Indonesian regulators have already registered five exchanges. These exchanges will operate under the new national crypto exchange, which the ministry is about to launch. The national platform would act as a clearing house and custodian in the Indonesian crypto market, facilitating smooth trades and overseeing the activities of the private ones.
By clearing house, the minister meant a mediator between buyers and sellers, whose duty is to ensure all transactions go without hitches. Also, the national crypto exchange acting as a custodian means managing assets flow and protecting the interest of buyers and sellers.
Furthermore, the trade minister encouraged the public to be patient as they wrap things up before launching the crypto exchange. In his words, rushing things without being ready could mess up their plans. Moreover, the government intends to avoid anything that would harm the public since the people lack enough crypto trading knowledge.
Crypto Oversight To Change Hands As Indonesia Launches Nat’l Crypto Exchange
Currently, the Indonesian Commodity Futures Trading Regulatory Agency, also known as Bappebti, supervises and controls crypto assets in the country. But previous reports stated that the agency would relinquish its authority over digital assets to the Financial Services Authority after the launch of the national exchange.
This decision is in response to the new crypto regulations, which the country’s lawmakers modified on December 15, 2022. The newly ratified crypto rules define cryptocurrency and other digital assets as Regulated Financial Securities. That means crypto assets regulations are no longer under Bappebti’s jurisdiction but belong under the Financial Services Authority’s oversight.
While explaining the reason for the authority shift, Suminto Sastrosuwito, the national finance ministry’s head of financing and risk management, said crypto assets have become an investment and financial instrument. In Suminto’s explanation, crypto assets require oversight as investments and financial instruments, and Bappebti lacks this jurisdiction.
Indonesia remains a relatively crypto-pro country. In 2017, the country imposed a ban on crypto payments, but digital asset trades remained legal.
The governor of the Bank of Indonesia, Perry Warjiyo, announced on December 5, 2022, that the apex bank is planning to launch its digital currency. According to Perry, the new CBDC would serve as the only digital legal tender in the country.
However, the national crypto exchange launch might change the Indonesian market and increase mainstream adoption.
Featured Image From Pixabay, Sushuti Charts From Tradingview