Indonesian crypto firms struggle with new capital requirements

Author: Karry Lai | Published: 20 Mar 2019

Indonesia’s Commodity Futures Trading Regulatory Agency has introduced new legislation and a detailed framework for operating physical crypto-asset futures. However, cryptocurrency operators are concerned by the high capital requirements being imposed on them. Some are inviting foreign investors in an attempt to meet the new requirements.

Under the new framework, cryptocurrencies need to comply with local anti-money laundering (AML) and combating financing of terrorism (CTF) requirements. Cryptocurrency traders also need to maintain transaction histories for a minimum of five years on a server located within Indonesia.

Cryptocurrency brokers were already dissatisfied with capital requirements introduced in October 2018. The rules now stipulate...