New Rule for Crypto Assets
Indonesia’s Financial Services Authority (OJK) has introduced a new rule requiring crypto companies to test their products in a “Regulatory Sandbox.” This move aims to promote innovation and protect consumers from scams.
Regulatory Sandbox Explained
The Regulatory Sandbox is a testing environment where crypto firms can evaluate the reliability of their products and business models. This ensures that innovation is carried out responsibly and with proper risk management.
Crypto Companies Affected
All crypto companies, including those already licensed by the OJK, must now pass through the Regulatory Sandbox before operating in Indonesia. Failure to comply will result in unlicensed operations and illegal products.
Regulatory Landscape
This new requirement is part of Indonesia’s evolving regulatory landscape for crypto assets. Starting in 2025, the OJK will take over supervision and regulation from the Commodity Futures Trading Regulatory Agency (Bappebti).
Indonesia’s Crypto Adoption
Despite its cautious approach, Indonesia has a high adoption rate for cryptocurrencies. As of 2023, there were over 18.51 million investors, ranking 7th in the Global Crypto Adoption Index.
