CoFTRA Calls Crypto Asset Transactions In January Down To Rp12 Trillion

Illustration of crypto assets (Photo: Doc. Antara/HO-Indonesian Futures Clearing)

JAKARTA - The number of crypto transactions in January 2023 was IDR 12 trillion, down from the average monthly transaction in 2022 which reached IDR 25 trillion.

This is according to data from the Commodity Futures Trading Supervisory Agency (CoFTRA) of the Ministry of Trade (Kemendag).

Head of the CoFTRA Market Development and Development Bureau, Tirta Karma Senjaya, said the value of crypto transactions throughout 2022 was IDR 306.4 trillion. This figure decreased by 64.3 percent compared to 2021 which reached IDR 858.76 trillion.

"We compare 2022, the recent movement is not much different, 2022 is the highest in early 2022. 2022 is an average monthly transaction of IDR 25 trillion, but it is influenced by large transactions in the early 2022 quarter," said Tirta after attending the Crypto Consumer Summit in Jakarta, Tuesday.

Tirta said that the decline in crypto transactions occurred due to several factors such as markets that were getting bored, weakening crypto assets to the fall of Luna or crypto tokens in the Terra network and the largest crypto market, FTX. According to Tirta, this has an effect on the level of public confidence in investing in crypto assets.

Until now, CoFTRA is still studying the causes of the decline in crypto transactions. The hope is that this February the value of crypto assets can be "green" again, although not as high as the 2021 period.

"In recent weeks, several mothers coins such as Bitcoin, Solana are starting to green. The hope is that when it starts to attract like this, investors will start to enter. We wait and see if this February transaction can rise again," said Tirta.

"We don't expect this transaction to return to 2021, it is a position where all investments increase. The target can be above 2022," he continued.

In order to prevent the fall of the crypto market in America, CoFTRA already has regulations to protect consumers. The government and the DPR have passed the Financial Sector Regulation Development Law (P2SK).

Through this law, there will be a slight shift in authority, that the physical trading of Crypto Assets which was originally under the supervision of CoFTRA or the Ministry of Trade will shift under the Financial Services Authority (OJK).

This diversion is expected to provide better regulatory space and risk management, especially related to the fiscal sector which will later affect the stability of the financial system in Indonesia.

"Indonesia is starting to be careful even though we have said that we are regulating this to prevent things from happening like in America, hopefully there will be no events in Indonesia," said Tirta.