An Indonesian cryptocurrency exchange called Tokocrypto reached a big goal by getting a full license from the Commodity Futures Trading Regulatory Agency (Bappebti). Tokocrypto revealed on September 9 that it had been given the Physical Crypto Asset Trader (PFAK) license. This means that it can now legally trade physical crypto assets in Indonesia.
Indonesian exchanges used to be in a group called “prospective crypto exchange.” As of 2019, Tokocrypto had been signed up as a Prospective Physical Crypto Asset Trader (CPFAK). In that year, Bappebti told all exchanges they had to get full permission, which set up rules for this license.
Binance Backed Tokocrypto’s Licensing
Yudhono Rawis, CEO of Tokocrypto, said that Tokocrypto is only the third exchange in Indonesia to get this license. 35 other potential exchanges are still waiting to be approved. Rawis stressed that the license is an important part of Tokocrypto’s plan to dominate the Indonesian cryptocurrency market, which aims to strengthen its position and improve the quality of its services.
Based on trade volume, Tokocrypto was the major exchange in Indonesia in 2023. It had 43% of the market, making it one of the top three centralized exchanges. Indodax, its major rival, had 42% of the market, while Upbit Indonesia had 15%.
Binance first put funds into Tokocrypto in 2020, and in 2022, it raised its stake in the company. The exact amount of Binance’s investment was not made public, but recent comments from the company call Tokocrypto its “subsidiary,” which suggests that it has a large stake in the Indonesian exchange.
