Indonesia’s Crypto Sector Declines to $28.6B Following Stricter OJK Regulations

Post by : Mina Rahman

Toward the end of 2025, Indonesia's cryptocurrency market experienced a notable dip in trading activity due to the implementation of stricter regulations by the Financial Services Authority (OJK). Although trading volumes decreased, these reforms are anticipated to fortify the market's structure and enhance investor confidence over time.

According to the OJK, the total crypto trading value in Indonesia for the year reached 482.2 trillion rupiah (approximately US$28.6 billion), marking a decline from the prior year's record of 650.6 trillion rupiah. This downturn is largely attributed to the regulatory overhaul initiated in January 2025, which shifted oversight responsibilities from the previous authority to the OJK.

As of November 2025, the count of registered cryptocurrency users in Indonesia slightly increased to 19.6 million, reflecting a 2.5% rise since October. Nonetheless, overall market participation showed a decline relative to the previous year, highlighting a more conservative approach among investors and traders.

In December 2025, crypto transaction values fell by 12.2% from November, amounting to 32.7 trillion rupiah (around US$2 billion). Analysts suggest this decrease is due to the operational adjustments crypto firms are making to meet the new compliance mandates.

In its rigorous enforcement, OJK has addressed compliance violations by taking action against 43 crypto and fintech companies, issuing 33 fines and 37 warnings. This vigilant stance has impacted 13 fintech and 30 digital asset firms, reflecting OJK's commitment to stricter regulation.

The latest regulations, particularly POJK 16/2025, impose more stringent compliance requirements and elevate the quality standards for owners, directors, and key personnel in crypto firms. Companies are now expected to invest in advanced regulatory technology, including anti-money laundering (AML) systems, know your customer (KYC) protocols, real-time regulation monitoring, and automated reporting tools.

While these regulatory changes may initially hinder trading volumes, experts believe that stringent oversight will lead to a safer and more transparent crypto environment—ultimately fostering enduring growth and elevating investor confidence in Indonesia's digital asset market.