The cryptocurrency market is booming in Indonesia. In 2022, the country recorded 14 million cryptocurrency investors, much higher than the number of Indonesians who invest in the stock market.
Last month, President Joko Widodo signed off on a new law that aims to provide greater clarity on how cryptocurrency is regulated. The new law transfers cryptocurrency regulatory powers from the commodities watchdog Bappebti (Badan Pengawas Perdagangan Berjangka Komoditi) to the Financial Services Authority (Otoritas Jasa Keuangan, OJK), effectively switching the classification of cryptocurrency from commodities (like gold or coal) to securities.
This is part of a larger plan in which Indonesia hopes to set up a national cryptocurrency exchange. The exchange will cover existing exchanges and function as a national custodian and clearing house for cryptocurrency in Indonesia, adding another layer of protection for cryptocurrency users in Indonesia. But the exchange has been delayed by various obstacles.
Will this new law create more clarity for cryptocurrency users in Indonesia? How has it been received and what are some of the concerns users have about regulation of the industry in Indonesia? In this week’s episode of Talking Indonesia, Tito Ambyo speaks to Rob Raffael Kardinal, the chair of the Indonesian Crypto Consumers Association.
In 2023, the Talking Indonesia podcast is co-hosted by Tito Ambyo from RMIT, Dr Jemma Purdey from Monash University, Dr Jacqui Baker from Murdoch University, and Dr Dave McRae from the Centre for Indonesian Law, Islam and Society at the University of Melbourne.
Look out for a new Talking Indonesia podcast every fortnight. Catch up on previous episodes here, subscribe via Apple Podcasts or listen via your favourite podcasting app.