The transition of oversight for crypto assets in Indonesia is currently facing delays as the government struggles to finalize the necessary regulations. The shift from the Commodity Futures Trading Agency to the Financial Services Authority was initially scheduled for January 12, 2025, but with the lack of supporting government regulation, the transfer may be pushed back even further.
Chairman of the Indonesian Financial Services Authority (OJK), Mahendra Siregar, has reassured the public that preparations are underway for the transition. He mentioned that close coordination with the Trade Ministry is ongoing to ensure a smooth handover once the required regulations are in place.
The move to transfer supervision of crypto assets from Bappebti to OJK was first proposed by Finance Minister Sri Mulyani in late 2022. However, the official government bill outlining the provisions for the transition has yet to be published, hampering progress.
Both OJK and Bappebti have acknowledged the impending transition and are making preparations accordingly. OJK Commissioner Hasan Fawzi stated that the agency is studying how other countries regulate crypto assets and training its regulators for the new responsibilities. Meanwhile, Bappebti Head Kasan emphasized that existing crypto regulations will remain in effect until new ones are established by OJK.
Local industry players, including brokers and exchange firms, are eagerly anticipating the transition as they view it as a positive step towards regulating the crypto sector and providing legitimacy to crypto trading for investors. OJK’s collaboration with the central bank of Indonesia in regulating the financial sector could pave the way for streamlined crypto regulations in the future.
In a related development, Bank Indonesia recently completed the Proof of Concept for Project Garuda, the pilot project for Indonesia’s central bank Digital Currency. This milestone marks a significant advancement in Indonesia’s digital currency initiatives.
The transition of crypto asset oversight in Indonesia is a crucial development that will shape the future of the crypto sector in the country. As authorities work towards finalizing the necessary regulations, industry players and investors are eagerly anticipating a more regulated and legitimate crypto trading environment.