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The approval confirms that Tokocrypto adheres to the regulator’s stringent standards, providing a safe and dependable platform for crypto investors.
Tokocrypto, Indonesia’s popular crypto trading platform and a Binance subsidiary, has officially obtained its status as a regulated Physical Crypto Asset Trader (PFAK) in Indonesia. This regulatory greenlight grants Tokocrypto full power to operate as a physical crypto asset trader within Indonesia’s evolving cryptocurrency landscape.
The announcement, made on Monday, follows years of stringent regulatory scrutiny by the country’s Commodity Futures Trading Regulatory Agency (Bappebti). Notably, Tokocrypto, officially known as PT Aset Digital Berkat, was previously operating as a Prospective Physical Crypto Asset Trader (CPFAK) in the region. Securing the PFAK license highlights the trading platform’s persistent efforts to comply with Indonesia’s strict regulatory framework.
This development comes as Tokocrypto continues to experience massive growth in Indonesia. The platform’s user base has crossed 4.5 million in 2024, with its monthly trading volume increasing by an impressive 138%.
Solidifying Tokocrypto’s Long-Term Goals
The approval confirms that Tokocrypto adheres to the regulator’s stringent standards, providing a safe and dependable platform for crypto investors. The platform’s Chief Executive Officer (CEO), Yudhono Rawis, noted the importance of the PFAK license in realizing the company’s vision of becoming Indonesia’s leading crypto platform. Rawis stated that securing the license represents a major step toward achieving his company’s long-term goals and maintaining high compliance standards.
The Indonesian government is gradually progressing in regulating the crypto industry, with Bappebti playing a central role in overseeing the industry. The agency works closely with other institutions, such as the central bank (Bank Indonesia), tax authorities, and law enforcement to regulate crypto trading. However, despite growing interest, Bank Indonesia still does not recognize cryptocurrencies as legal payment instruments.
Bappebti has applications from around 35 crypto exchanges for the regulatory license. To operate legally in the country, the platforms are required to register with self-regulatory organizations like the CFX apart from obtaining this license. Interestingly, Tokocrypto is the third trading platform to receive this regulatory nod in Indonesia.
Binance’s Focus on Compliance
Binance CEO Richard Teng took X to praise Tokocrypto for securing the PFAK license and contributing to Web3 development in the region. He also noted Binance’s efforts toward regulatory compliance, not just in Indonesia but globally. Binance is currently boosting its compliance measures worldwide, with plans to onboard 1,000 new employees by the end of this year, 200 of whom will focus on compliance.
Teng brings a wealth of expertise in regulatory compliance, having previously held important positions in the sector. Just last week, Binance gained regulatory approval from Kazakhstan’s financial authorities, moving closer to obtaining full licensing in the country.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
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With a background in finance and a passion for innovation, Anisha has been covering the ever-evolving world of crypto for over four years. Her deep understanding of the crypto market have made her a trusted source for analysis and news. Whether it's dissecting the latest trends or decoding whitepapers, Anisha is dedicated to bringing clarity to the world of digital assets.
