Traders in the cryptocurrency space are less than happy with regulators in Indonesia after news surfaced about Bitcoin brokers now needed more than $70 million launch futures trading.
In an unexpected addition to the final bill, said trading platforms are required to have 1 trillion rupiah minimum capital.
The objectors note that this ‘dwarfs’ the equivalent capital needed to start trading traditional commodities which is 2.5 billion rupiah. This is the same as $178,000.
It was last week when the surprise addition was introduced and was written by the Commodity Futures Trading Regulatory Agency, also known as Bappebti.
According to the CEO of the local cryptocurrency exchange Indodax, Oscar Darmawan, the sums that are involved are even more than the cost of opening a rural bank. The regulation was basically impacting industry growth since there weren’t any futures launched since the tool was made legal.
In recent times, the nation has seemingly shown a highly conservative approach to cryptocurrency. Last summer, the financial regulator in the country gave the go-ahead for crypto trading as a commodity on Indonesia’s stock exchange.
According to the head of Bappebti market supervision and development bureau, Dharma Yoga said that the supervisory board decided to allow crypto to trade as a commodity as a result of a four-month study into digital currencies.
In addition to this, Dharma also said that the Indonesian government will soon release corresponding legislation on regulating currency exchange taxation, companies and fighting money laundering and the financing of terrorism.
As reported by CoinTelegraph, Bappebti will be working with cryptocurrency exchanges on regulation by asking them to advance reports on product specification and trading procedures which will also collaborate with a variety of government finances, police agencies and tax regulations.
A full block on Bitcoin use for payments from Indonesia’s central bank came in December 2017. This was weeks before the cryptocurrency hit its most recent all-time high of $20,000 the same year.