Regulation

Indonesia forms dedicated committee to strengthen crypto regulation

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on

2024-05-08 06:38:26 ET

Indonesia has taken an important step towards strengthening its oversight of the cryptocurrency sector with the establishment of the Crypto Asset Committee.

This decision by the Commodity Futures Trading Regulatory Agency (

Bappebti

) aims to strengthen the monitoring and regulation of cryptocurrencies, now officially recognized as commodities in the country.

Crypto Assets Committee Formation

Announced at the BLK 2024 opening event in Jakarta on May 2, the formation of the Crypto Asset Committee is part of Indonesia’s efforts to integrate cryptocurrencies into its legal and regulatory framework.

Bappebti, which oversees commodity trading, has expanded its purview to include crypto assets in accordance with regulations enacted in January.

Role and responsibilities of the committee

Kasan, the head of Bappebti, highlighted the central role of the committee in ensuring the smooth functioning of the cryptocurrency industry within the confines of the law.

“This committee will be a driving force, ensuring that the crypto assets sector continues to operate smoothly and remains within the applicable legal framework.”

Diverse representation and authority

The committee has a diverse membership, including representatives from Bappebti, various government ministries, cryptocurrency exchanges, clearing institutions, associations, universities and relevant industry practitioners.

It is responsible for analyzing industry reports, managing a central database of crypto assets, assessing the risks associated with these assets, and possessing the authority to propose changes to the asset list.

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