Green light for crypto by Indonesian government

7

The Indonesian government confirmed that they will not impose ban on Crypto but they will seek high regulation to prohibit the use of crypto assets in illegal activities.

The government of Indonesia was skeptical about the decision on crypto to make it legal or not. Since 2018, Crypto trading has been legal under the rule of Ministry of Trade Regulation No. 99 of 2018. But now the Indonesian government has made a better and perfect decision over crypto and confirmed that there is no ban can take place by the government.

In a recent Statement, the Central Bank of Indonesia confirmed that they will not ban Crypto related services and trading of crypto assets will remain legal for their citizens. 

But they noted that crypto assets are highly volatile and backed by some fiat value. And also there are many associated risks. So to avoid any kind of illicit activities with the use of crypto payments or transactions, regulation will be imposed. 

And also the Central bank noted that crypto can’t be used in the payment options, so they will make perfect rules to prohibit the transactions in the crypto to make payment. 

Here it is worth noting that the Govt of Indonesia is approaching technology and opportunities with crypto and they are trying to prohibit all kinds of possible risks associated with it. The Deputy Minister of Trade And Industry of Indonesia confirmed that the country is developing its own central bank Digital Currency. 

If we talk about the crypto trade growth, then we can see that a total $4.5 billion volume of trade took place in 2020. While the trade volume in 2021 at the local exchanges  has already reached around 40% increment  between January & May. 

Read also: Binance Exchange to Stopped Operations in Singapore