The biggest change is removing control of virtual currencies from the Commodity Futures Trading Regulatory Agency of Indonesia and vesting it in the hands of the Financial Service Authority.
Bank Indonesia will launch its digital rupiah under Project Garuda, which will be trialed in three phases, with wholesale CBDC a priority, as stated in the white paper.
To uphold accountability, Indonesia is looking to appoint natives as directors of digital asset exchange firms, ensuring stakeholders of rapid action should the sector run into financial woes.
A long-stalled plan to create Indonesia's digital asset exchange is coming to fruition as the government ramps up measures to safeguard investors from rising interest in the market.
GoTo expands its business activities with its entry into the digital assets market, procuring a local exchange platform for $8.4 million, a move that’s expected to contribute to Indonesia's GDP.
Bank Indonesia is currently working on improving the cybersecurity features of the digital rupiah and exploring its cross-border interoperability with CBDCs of other countries.
The country’s taxman said that transactions will also be charged a value-added tax of 0.1%, way below the 11% charged to other goods and services in Indonesia.
The watchdog has reiterated its earlier warning that financial institutions can’t deal in digital currencies as pressure mounts from religious organizations.
After a heated debate involving religious scholars and digital currency experts, members of the organization voted to declare digital currencies haram.
Indonesia has emerged as the country with the highest interest in digital currencies, ranking ahead of Chile and Argentina, which are in second and third place respectively.
The Minister of Trade has said India has no plans to impose a blanket ban on Bitcoin like China did, although the government is looking at more regulations.