CoFTRA Immediately Launches The National Crypto Exchange This July

Head of CoFTRA, Didid Noordiatmoko, said that all crypto transactions would only be allowed to take place through the national exchange. (photo: dock. intermediate)

JAKARTA - The government continues its plan to launch a national crypto exchange. The platform is expected to debut in the coming weeks. Even the Commodity Futures Trading Supervisory Agency (CoFTRA) stated that it launched a national crypto exchange in July 2023.

The head of CoFTRA, Didid Noordiatmoko, reportedly said that all crypto transactions would only be allowed to take place through the national exchange.

"Yesterday we agreed with the stock exchange regulations," said Didid. He added that the discussion involved the Know Your Customer (KYC) procedure. Didid also noted that trading on the exchange will be offered through an integrated application, which has been tested by CoFTRA.

"We have tested the integration of the system between traders, exchanges, clearing and storage," said Didid.

He also revealed that CoFTRA plans to limit crypto sales to local transactions, while maintaining suitability with international market developments. This will include questions about crypto prices, which will be approved by CoFTRA.

CoFTRA has also notified the Minister of Trade, Zulkifli Hasan, about this development. "If there are no other instructions, CoFTRA will sign a permit that will give licensed traders a month to join the stock exchange," said Didid.

As previously reported, the Indonesian Ministry of Trade aims to launch a national crypto exchange in June 2023. The previous target was December 2022, but the project was delayed.

This initiative began in 2021 when the owner of a state-backed telecommunications company in Indonesia announced a partnership with Binance to launch a joint crypto exchange. At the end of 2022, Binance increased its share ownership in the Indonesian crypto asset trader, Tokocrypto.

The existence of crypto exchanges in Indonesia provides several advantages that can be felt by various parties, including:

Accessibility and Ease: With the existence of crypto exchanges in Indonesia, people can easily buy, sell and exchange various types of crypto assets. This provides more accessibility for individuals interested in engaging in the crypto market without having to look for exchanges abroad.

Increased Crypto Adoption: With the availability of secure and trusted crypto exchanges, Indonesians are more likely to try blockchain technology and crypto assets. This can increase the level of crypto adoption, which in turn contributes to the growth of the crypto ecosystem as a whole.

Transparency and Regulation: Crypto exchanges in Indonesia supervised by supervisory agencies such as CoFTRA can increase transparency and provide protection for consumers. Proper regulations can also help prevent illegal activities or fraud in the crypto market.

Economic Development: The growth of the crypto industry in Indonesia can create new jobs and business opportunities for companies involved in the sector. In addition, through fees and transaction taxes, the government can also obtain additional income.

Investment Diversification: Crypto exchanges provide opportunities for individuals and investors to diversify their portfolios with digital assets. This allows them to participate in various projects and assets that were previously difficult to access by retail investors.

However, despite the many benefits, it's important to remember that crypto investment still has risks, and users should remain cautious and understand the risks involved before engaging in crypto trading