Indodax CEO Oscar Darmawan: Crypto Assets Are Not Used As Currency, But Are Commodities That Are Legitimately Traded

Indodax CEO, Oscar Darmawan. (Photo: Doc. Antara)

JAKARTA - Crypto assets as commodities with certain conditions are legal to trade but are forbidden to be used as currency according to the MUI. The crypto assets in question are crypto assets that meet the requirements as sil'ah and have an underlying and have clear benefits that are legally valid for trading.

It should be noted that crypto assets are currently widely owned by many people in Indonesia as investments, even in fact trading crypto assets is used as the main livelihood by millions of Indonesian people today to meet their daily needs.

With a fairly high price increase from year to year. The enthusiasm of the Indonesian people for investing in crypto assets is increasing day by day, as evidenced by the continued increase in transaction volume and the increasing number of registrants who are joining in to register on many officially registered crypto exchanges in Indonesia, one of which is Indodax with daily transactions reaching trillions of rupiah.

Indodax CEO Oscar Darmawan emphasized that in Indonesia, crypto assets are not used as currency.

"In Indonesia, crypto assets are indeed not for currency as Bank Indonesia regulations are also the same as the results of the MUI deliberations which forbid crypto as a currency because in Indonesia only rupiah is the recognized currency. At Indodax itself we trade many types of crypto assets, even volume The biggest trade on Indodax comes from crypto assets that have physical underlying assets," explained Oscar in a statement received by VOI, Friday, November 12.

Regarding the underlying asset of the crypto asset itself, Oscar Darmawan also explained that in fact almost all crypto assets have their own underlying asset which may not have been explained before.

"Actually, all crypto assets have an underlying. There are only those whose underlyings are easy to understand in physical assets such as USDT, LGold, LSILVER, XSGD but there are also those whose underlyings are issuance fees such as bitcoin. Bitcoin has an underlying in the form of bitcoin mining fees for the verification process and the issuance of bitcoins, which costs 150 TeraWatts of electricity per hour, only in a purely digital form," said Oscar.

"Yes, the name is technological innovation, now money just doesn't have a physical form, just digital like e-money. So because there are production costs, Bitcoin doesn't just appear, so don't be surprised if the price of bitcoin keeps going up," added Oscar.

Indodax itself currently has more than 4.5 million members. Oscar rate, 99 percent of the members, rely on crypto assets as income to live.

"Now the reality is that Indodax has helped 4.5 million Indonesians through this difficult time during the COVID-19 pandemic by providing alternative jobs as crypto asset traders. Many people who have no jobs now live from trading crypto assets," he explained.

"Indodax has 170 types of crypto assets. So there are many types. It's just a matter of traders choosing which crypto assets to trade. I personally think that almost all crypto assets have underlyings if you study technology and benefits, but it all comes back to each other's point of view traders," concluded Oscar.