The Indonesian government is planning to launch a state-backed cryptocurrency exchange. The information was announced on March 25, 2021, and it would make it easier for people to handle digital assets. The information was released during a webinar a few days ago.
Indonesian Government to Create a State-Backed Crypto Exchange
According to the Indonesian Deputy Minister of Trade, Jerry Sambuaga, in the near future, they could release a new cryptocurrency exchange that would allow traders to exchange virtual currencies.
Although there is no specific date of the official launch, the exchange could be released as soon as in the coming months.
“In the near future, maybe within the coming months, or maybe even next month there will be an exchange especially regulating and accommodating the trades of these crypto commodities,” said Mr. Sambuaga.
All around the world, crypto exchanges help users sell, buy and hold digital assets. At the same time, exchanges are also used for other things such as staking, lending and participating in decentralized finance (DeFi) protocols.
According to the official report, the Indonesian government is planning to create this crypto exchange in order to leverage the potential of the cryptocurrency market. In recent months, virtual currencies have been moving higher and Bitcoin (BTC), the largest cryptocurrency in the world, surpassed $60,000.
According to Statistics Indonesia (BPS), Minister Lufti explained that 90% of entrepreneurs that offered goods and services in 2020 were based on digital platforms. Moreover, almost 50% of them were in retail, trade, repairs and automotive maintenance.
By improving the solutions e-commerce companies have (by integrating with exchanges), they could also reduce some of the negative effects that the COVID-19 pandemic had on them. With better integration with crypto exchanges, they could have better solutions and products for clients.
Additionally, Sambuaga noted:
“This means that it shows the future direction that digital assets and digital commodities can be an alternative. Or this could even be the main pillar to increase our trade.”
The country has been growing as a crypto local and regional hub in recent years. However, its crypto-economy has still the possibility to continue growing in the coming months and years. Entrepreneurs would have the possibility to use a regulated crypto exchange and to offer better services and solutions to clients not only in the country but also from all over the world.
This might also be the first time a country is trying to create a state-backed crypto exchange.