Key Insights
- Tokocrypto receives full PFAK license from Indonesia’s Bappebti regulatory agency.
- The exchange is the third in Indonesia to obtain this license, out of 35 registered prospective exchanges.
- Tokocrypto is revealed to be a subsidiary of Binance, following previous investments.
JAKARTA (MarketsXplora) – Tokocrypto, a leading Indonesian cryptocurrency exchange, has obtained a full operating license from the country’s Commodity Futures Trading Regulatory Agency (Bappebti), marking a significant milestone in the nation’s crypto regulatory landscape.
The company announced on Saturday that it had received the Physical Crypto Asset Trader (PFAK) license, granting it full authority to operate as a physical crypto asset trader in compliance with Indonesia’s trading regulations.
Tokocrypto becomes third fully licensed crypto exchange in Indonesia
Tokocrypto CEO Yudhono Rawis confirmed that the exchange is the third in Indonesia to secure this license, with 35 other prospective crypto exchanges still registered under the regulatory body.
“This is an essential part of our strategy to build a solid foundation in the crypto-asset ecosystem in Indonesia and ensure that we can provide the best services to our customers,” Rawis stated.
The move represents a shift from the “prospective crypto exchange” category under which Indonesian exchanges have operated since 2014. Tokocrypto itself had been registered as a Prospective Physical Crypto Asset Trader (CPFAK) since 2019, the same year Bappebti mandated all exchanges to seek authorization.
According to CoinGecko data, Tokocrypto held the top spot among Indonesian exchanges in 2023, commanding a 43% market share of trading volume among the country’s top three centralized exchanges.
The announcement also revealed Tokocrypto’s status as a “subsidiary” of global crypto exchange Binance. This relationship stems from Binance’s investments in Tokocrypto, beginning with a major undisclosed investment in 2020 and an increased stake in 2022.
Former Binance CEO Changpeng Zhao had previously described the 2022 deal as an injection of additional cash and an increase in shareholding, suggesting a potentially controlling stake by the Binance group in Tokocrypto.
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