Indonesia’s OJK Moves to Strengthen Crypto Ecosystem After Transaction Slowdown

Indonesia’s Financial Services Authority (OJK) is strengthening oversight of the country’s crypto asset ecosystem following a decline in transaction values in February 2026. Regulators say the slowdown reflects global financial conditions, including geopolitical tensions and high interest rates in the United States. In response, OJK is pursuing regulatory reforms and stronger governance across exchanges, custodians and traders to improve market resilience while safeguarding investors in Indonesia’s rapidly expanding digital asset sector.

According to data reported by ANTARA, crypto asset transactions in Indonesia totalled Rp24.33 trillion (US$1.43 billion) in February 2026, down from Rp29.28 trillion (US$1.72 billion) in January. The decline comes as global financial markets face uncertainty driven by geopolitical tensions and tighter monetary policy in major economies.

Global Market Conditions Influence Crypto Activity

Adi Budiarso, OJK’s chief executive for supervision of financial sector technology innovation, digital financial assets and crypto assets, said the slowdown is linked to broader global developments. Rising geopolitical tensions, including conflict in the Middle East, have contributed to risk-off sentiment among investors worldwide.

Higher interest rates in the United States have also triggered large liquidations of leveraged positions in the crypto market. This has placed downward pressure on trading volumes across decentralised financial platforms internationally.

Budiarso noted that 2024 represented a strong bull market phase for crypto assets. However, after reaching a peak, the market entered a consolidation period during 2025, characterised by price corrections and reduced transaction activity.

Strengthening Governance Across the Crypto Ecosystem

Despite the slowdown, OJK plans to reinforce the structural foundations of Indonesia’s crypto ecosystem. The regulator is focusing on governance across exchanges, clearing houses, custodians and crypto asset traders, aiming to strengthen oversight and better protect consumer interests.

The authority is also working with the government, Bank Indonesia (BI) and the Deposit Insurance Corporation (LPS) to implement the principle of “same activity, same risk, same regulation”. This approach is designed to align Indonesia’s regulatory framework with international standards for digital financial assets.

OJK is reinforcing enforcement efforts against illegal financial activity in collaboration with the Illegal Financial Activities Eradication Task Force (Satgas PASTI) and the Indonesia Anti-Scam Center. These efforts reflect a broader push to strengthen digital safeguards across the country, complementing initiatives such as biometric SIM registration to boost digital security.

New Regulations for Digital Financial Asset Trading

To support more robust market governance, OJK has issued a regulation and a circular letter governing the implementation of digital financial asset trading, including crypto assets. Under the updated rules, service providers must own, control and operate the systems used for trading and storing transactions.

Regulators are also considering new rules covering primary market offering activities within Indonesia’s domestic crypto ecosystem. At present, OJK’s regulatory framework focuses mainly on secondary market trading.

More comprehensive oversight is expected to support the emergence of domestic crypto businesses and broaden investment opportunities for Indonesian investors. Currently, the assets traded in the domestic market are largely dominated by global cryptocurrencies.

Growing User Base Despite Market Cooling

Despite the recent slowdown in transactions, the number of digital financial asset and crypto consumers in Indonesia continues to grow. As of February 2026, the total reached 21.07 million users, representing a 1.76% increase.

The value of digital financial asset derivative transactions, however, fell to Rp5.07 trillion (US$297.87 million) in February, compared with Rp8.01 trillion (US$470.6 million) in January. Indonesian authorities view stronger governance, regulatory clarity and digital literacy as essential for sustaining long-term growth in the sector, alongside wider national efforts to improve safe digital participation, including programmes that promote digital literacy and responsible online behaviour.