Crypto Industry Players Highlight The Risk Of Draft Revision Of The P2SK Law

Crypto illustration (photo: Unsplash)

JAKARTA - The government is preparing a revision of the Financial Sector Development and Strengthening Law (UU P2SK), which aims to clarify the supervision of digital assets, including cryptocurrencies under the Financial Services Authority (OJK).

However, the revised draft raises concerns among industry players, especially regarding several articles that are considered to be able to shift the vital role of Digital Financial Asset Traders (PAKD).

In the revised draft circulating, Article 215C point 9 stipulates that crypto exchanges are required to own or control digital asset trading systems, including crypto and its derivatives.

Meanwhile, Article 312A point C requires the exchange to hold digital asset trading no later than two years after the law is enacted.

If interpreted as implementation without adjustment, a number of industry players, including Tokocrypto, think this rule can focus all crypto trading activities under exchange control, and have the potential to reduce the independence of PAKD, which has been operating independently.

Thus, Tokocrypto added, one of the risks that will occur is the transfer of crypto users to foreign platforms if domestic regulations are considered too restrictive.

Responding to this development, industry players chose to be wait and see, while waiting for clarity from the government and related authorities.

Tokocrypto CEO Calvin Kizana said he understood that the revision of the law was intended to strengthen the national financial sector, including the digital asset industry.

"However, it is important for all parties to ensure that this policy continues to encourage innovation and not kill local actors who have contributed to building a crypto ecosystem in Indonesia," Calvin said in a statement quoted on Sunday, November 9.

Calvin menambahkan, pihaknya mendukung penuh langkah pemerintah untuk menata industri secara berkelanjutan, namun berharap proses penyusunan aturan melibatkan seluruh pemangku kepentingan agar hasilnya seimbang.

“Kami percaya, regulator akan membuka ruang dialog dengan seluruh pihak. Dengan begitu, revisi ini bisa menghasilkan regulasi yang kuat, adil, dan tidak merugikan siapa pun,” tambahnya.

Calvin added that his party fully supports the government's steps to organize the industry in a sustainable manner, but hopes that the process of drafting regulations involves all stakeholders so that the results are balanced.

"We believe the regulator will open up space for dialogue with all parties. That way, this revision can produce regulations that are strong, fair, and not detrimental to anyone," he added.