TL;DR Breakdown
- The payment of transaction fees will be made in regulated exchanges.
- This extra payment will be integrated into the regularized business transactions.
Cryptocurrencies are available almost everywhere in the world, including Indonesia, where they are very fluid. The country’s regulators are looking for a way to control digital assets by imposing transaction taxes. The payment of transaction fees will be made in regulated exchanges.
Crypto regulation is supported by Bappebti, which seeks to include a tax rate for transactions within the country. This extra payment will be integrated into the regularized business transactions. Many companies in Indonesia have regularized tax payments, so the plans are considered concrete.
The country has 13 crypto exchanges that Bappebti has approved. If this law is approved, the tariff will be included in all currencies that the agency has regulated. The extra payment could end the cryptocurrency savings that many companies in Indonesia have.
Bappebti director Sidharta Utama notes that the tax law for regulating cryptocurrencies is still under review. The executive persists that “it has not yet been clarified how high the tax will be.” In the coming weeks, the executive will communicate with the Fiscal Policy Agency to resolve all doubts.
The crypto environment is tense in Indonesia
Cryptographic regulations in the country appeared when transactions in Bitcoins and altcoins became more acute. In the year, the value of assets have increased, which has also increased the number of transactions. With this boom, the pressure that Bappebti is mounting is understandable because it is avoiding terrorist financing or money laundering in the country.
By December of last year, the agency recognized over 220 pairs of cryptocurrencies used in business. This regulatory system was also opened to include new currencies and various types of exchange.
The battle that Indonesia has with cryptography goes back to 2014, when its commercialization was prohibited. In 2017, many companies in the country had to register with a national bank to avoid electronic transactions.
The crypto environment in Indonesia has therefore become tenser, and this is due to a regulation that, for many experts, sounds absurd.
What do investors think about it?
The Indonesian Crypto Asset Traders Association’s President, Teguh Kurniawan, thinks this move may cause the investor population to lose control. With this measure, many people will seek to use platforms outside the monitored radar to sell their assets without regulation, said Kurniawan.
This investor clarifies that his colleagues have not been notified about the fee expected to be included in the transactions. Kurniawan insists these taxes can hurt the entire crypto market.
With this new crypto-focused regulated environment, many investors fear that anonymous transactions will be forgotten. Independent companies and investors must adjust to this new crypto environment in Indonesia to make their profits.
