A New Era Of Digital Physical Gold Trading Has Begun, What Is It?

Illustration (Photo: Doc. Antara)

JAKARTA - The Commodity Futures Trading Regulatory Agency (CoFTRA) is starting a new era in physical trading of digital gold on the futures exchange. It is stated that gold investment is now not limited to physical ownership, but can also transact online through physical trading of digital gold.

Plt. Head of CoFTRA, Indrasari Wisnu Wardhana, said that although it was done digitally, the physical gold was in the guarantee institution. According to him, the government guarantees that this digital gold physical trade is easy, safe, and accountable.

"Through this physical digital gold trade, CoFTRA is committed to creating an easy, safe and affordable investment facility for the community as well as facilitating the growth and development of the digital gold physical trading industry through the futures exchange," he said in an official statement as quoted on Tuesday, January 18.

Wisnu disclosed that CoFTRA has given approval to PT Indonesia Logam Pratama (Treasury trademark) and PT Sehati Indonesia Sejahtera (Sakumas) as physical digital gold traders.

"Through the issuance of the agreement, the public can buy digital gold directly from physical digital gold traders who have received approval from CoFTRA," he said.

Previously, he said, CoFTRA had also given approval to the Jakarta Futures Exchange (BBJ) and PT Indonesia Commodity and Derivatives Exchange (BKDI) to carry out physical digital gold market activities. In addition, to give approval to PT Kliring Berjangka Indonesia and PT Indonesia Clearing House as Clearing and Guarantee Institutions for the Settlement of Digital Gold Physical Market Transactions.

“The existence of an exchange and clearing of physical digital gold trading in Indonesia is expected to provide legal certainty as well as protection for people who transact in the physical digital gold market in Indonesia. Even though it is traded digitally, the physical gold is in a guarantee institution,” said Wisnu.

For information, physical digital gold trading can be done in two ways, namely matching on digital gold traders and matching on futures exchanges.

"Every digital gold physical trader who will conduct digital gold buying and selling transactions, must place an amount of gold as much as 10,000 grams or 10 kg. Meanwhile, for physical trading of digital gold on the futures exchange, market makers (participants) are required to place an amount of gold as much as 20,000 grams or 20 kg. The gold that will be traded either through physical digital gold traders or through futures exchanges is placed in a depository manager that has been approved by CoFTRA," he explained.

On the same occasion, the Head of CoFTRA's Market Development and Development Bureau, Tirta Karma Senjaya, explained that several requirements must be met to become a candidate for a physical digital gold trader, including in the form of a legal entity (limited company/PT), having a physical digital gold transaction system and mechanism. , has a capital of IDR 20 billion, and is able to maintain a final capital of IDR 16 billion or 2/3 of the total gold management (whichever is higher).

"Meanwhile, the requirements that must be met to become a futures exchange are having an initial capital of Rp. 100 billion, having digital gold trading rules and regulations, forming a physical market committee, having trading facilities for digital gold trading, having a monitoring and reporting system, and get CoFTRA's approval," said Tirta.