Cryptocurrency futures market sees new light
According to reports coming from the Indonesian financial watchdog, it has set new cryptocurrency trading rules for the futures trading markets within the country. The Commodity Futures Trading Regulatory Agency (Bappebti), an agency that is under the Indonesian´s Ministry of Trade made an announcement for some new rules today.
The Ruling states that all cryptocurrency futures exchanges must be registered and approved of before the start of any operations.
A decision that was first made last June stated that, the agency has also officially declared and recognized crypto assets as commodities that can be traded on other futures exchanges within the country.
Coming from the agency´s chief, Indrasari Wisnu Wardhana, who made a statement Today, he stated that the regulations have been put in place in order to provide legal certainty to the crypto futures market while offering full protection to consumers and investors alike.
Bappebti also stated in a document details of the full rules and registration requirements for the futures exchanges, along with clearing houses that are dealing in crypto assets.
The document states that these crypto assets must have paid-up capital of at least 1.5 trillion in Indonesian rupiahs ($106 million) with a closing capital balance of up to at least 1.2 trillion Indonesian rupiah, around $85 million.
Indonesia shows great support for the market new cryptocurrency trading rules
The report states that it is also required to have a good level of system security along with a minimum of three employees who are Certified Information System Security Professionals (CISSP).
A risk assessment process is also required according to the agency, which also includes the checking for anti-money laundering (AML) and combating the financing of terrorism.
Also, rules that have been set out for traders of futures and storage service providers of crypto assets. Both these positions must be approved before the start of any operation and it must maintain a minimum paid-up capital of 1 trillion Indonesian rupiahs ($71 million).
There is also a minimum requirement of closing balance of 800 billion Indonesian rupiahs which is around $57 million.
However, these rules do not apply to Initial Coin Offerings (ICO´s) as the usage of cryptocurrency as payment within the country is still barred.
Nevertheless, Crypto traders in the country have been unhappy that the watchdog has set the minimum capital so high as this may hold back the development of the nascent market.
According to the CEO of the digital asset trader Indodax, Oscar Darmawan, the very large capital requirements are above what is actually required for the launch of a rural bank. It is also higher than the 2.5 billion
What are your thoughts on the passing of new cryptocurrency trading rules for Indonesian crypto futures exchanges? Please feel free to leave a comment down below.