These Are The Regulations Needed By The Crypto Industry To Encourage Crypto Development In Indonesia

CEO of Tokocrypto and Deputy Chairperson of ASPAKRINDO-ABI, Yudhono Rawis (photo: Dinda Buana/VOI)

JAKARTA - CEO of Tokocrypto and Deputy Chairperson of ASPAKRINDO-ABI Yudhono Rawis suggested several regulations that could be considered by the government to advance the crypto industry in Indonesia.

The first advice most frequently asked by many crypto actors in Indonesia is related to taxes. Where currently, the Income Tax (PPh) and Value Added Tax (VAT) imposed on crypto asset profits is 0.1% (PPh), while 0.11% (VAT).

"He said Indonesia wants to get benefits, but the transaction cost to enter Indonesia is still too high. One of them is because taxes are on both sides, because it is considered that commodities are subject to VAT and sellers are also subject to PPH," said Yudho in his presentation at the Indonesia Crypto Outlook 2024 event organized by Tokocrypto, Wednesday, January 31.

The government through the Regulation of the Minister of Finance of the Republic of Indonesia Number 68/PMK.03/2022 which is valid since May 1, 2022 officially regulates Value Added Tax (VAT) and Income Tax (PPh) for crypto asset trading transactions.

Second, Yudho also hopes that with cooperation with institutions that have payment permits, crypto can also be used as fiat payments, or currencies that do not have intrinsic value, but become official means of payment.

"Thirdly, as this industry (crypto) transitions to OJK, hopefully we will no longer be banned from collaborating with LJK (financial service institutions), so we can attract many users who are now many in banks," said Yudho.

Because according to him, the bank customer has very good quality because it has been evaluated by the bank, and then monitored by the OJK.

"Then maybe what is needed is responsibility operations. Because all cryptocurrencies have actually undergone changes, this will be regulated business, and there is no choice for exchanges and player industries to be more responsive and more compliant with existing regulations," he concluded.

Last and no less important is, Yudho emphasized to further promote crypto-related education and literacy. What is expected later is that not many people will consider crypto as a scam.