Young People Drive Growth in Indonesia’s Cryptocurrency Market
Currently, more than 60% of cryptocurrency investors in Indonesia are between the ages of 18 and 30, indicating that the younger generation is fueling the growth of the Indonesian crypto market. The Indonesian government is actively strengthening regulations to ensure the protection of investments and transactions for this young demographic. In September of this year, cryptocurrency trading in Indonesia reached $27.1 billion, a staggering increase of 351.97% compared to last year.
Increased Financial Planning Awareness Among Indonesian Youth
According to a report, 38% of millennials and 41% of Generation Z prioritize financial planning, savings, and investments. Additionally, 32% of millennials and 26% of Generation Z allocate a portion of their income specifically for investments, demonstrating the importance of financial planning and investment among Indonesian youth.
Surge in Cryptocurrency Trading Volume in Indonesia: Approximately $27.1 Billion, a 351.97% Increase
According to the Indonesian Financial Services Authority, the cryptocurrency trading volume in Indonesia reached 33.67 trillion Indonesian rupiahs (approximately $2.13 billion) in September 2024. Although there was a slight decrease compared to August, the total trading volume from January to September this year has reached 426.69 trillion Indonesian rupiahs (approximately $27.1 billion), marking a significant increase of 351.97% compared to 2023.
Continued Progress in Cryptocurrency Regulation in Indonesia
In recent years, the number of young cryptocurrency investors in Indonesia has been steadily increasing. In response, regulatory authorities in Indonesia have strengthened their oversight to ensure a secure investment environment. The Indonesian Commodity Futures Trading Regulatory Agency (Bappebti) extended the compliance deadline for local cryptocurrency exchanges to obtain the Physical Cryptocurrency Asset Trader (PFAK) license until the end of November 2024. This extension is part of the third revision of Indonesia’s Regulation No. 9 of 2024, reflecting Bappebti’s ongoing adjustments to regulatory frameworks to accommodate the development of the crypto market.
Combating Cryptocurrency Fraud and Enhancing Cross-Border Cooperation
To combat cryptocurrency fraud, Bappebti has collaborated with Binance’s Financial Intelligence Unit (FIU) and Indonesian exchange Tokocrypto, working together with the Indonesian Criminal Investigation Bureau (Bareskrim) to crack down on criminal activities and recover approximately $200,000 worth of encrypted assets. This demonstrates Indonesia’s proactive stance in protecting cryptocurrency investors.
(Indonesia Announces Launch of State-Owned Cryptocurrency Exchange and Clearing House)