Bank Indonesia to Issue Digital Rupiah

The digital rupiah will be trialled this year in an effort to help make the payment system more efficient
29 January 2018   698

Despite Bank Indonesia (BI) prohibiting the use of cryptocurrency as a payment instrument, the central bank is considering issuing digital rupiah. Assistant to BI executive director for payment systems Susiato Dewi said the digital rupiah will be trialled this year in an effort to help make the payment system more efficient.

The physical banknotes we currently use may be converted into digital money. However, no country has released such money yet.

 

Susiato Dewi

Executive director for payment systems, Bank Indonesia

She said that the digital currencies issued by BI and other central banks will be different from current cryptocurrencies because digital money will be based on the certain values of assets.

She also added that the amount of the digital money will be based on the current currency system, and will take into account the inflation rate.

Previously, BI Governor Agus Wartowardojo said that using Bitcoin as a payment and transaction instrument violated Law No. 7/2011 on currency, which defines the rupiah as the only official transaction and payment instrument in the country.

Binance to Join Forces With IdentityMind

IdentityMind provides exchanges with ability to comply with KYC\AML worldwide
26 March 2019   86

Binance announced an agreement with IdentityMind, which will help it ensure compliance with regulatory requirements and improve data security.

IdentityMind provides cryptocurrency exchanges with access to the platform, thanks to which they can monitor compliance with customer identification and anti-money laundering requirements in real time. This includes connecting new customers, managing their profiles and monitoring transactions.

The partnership between Binance and IdentityMind further strengthens our compliance capabilities and our commitment to re-invest in the blockchain ecosystem and grow it. We continue to evolve and enhance security systems while adhering to regulatory mandates in the countries we operate in. The goal is to foster greater trust among financial institutions worldwide.
 

Samuel Lim

Chief Compliance Officer, Binance

Last year, Bloomberg wrote about the Binance user identification system as the least strict in the entire industry, and linked the “level of anonymity” provided by the exchange with the risks of money laundering and market manipulation.

In October, Binance entered into an agreement with a supplier of transaction analysis software on the blockchains Chainalysis, and in November with Refinitiv, which developed an automated solution for client verification.

Whether the ordinary users of the platform will feel the impact of the integration of IdentityMind tools on themselves, the exchange does not specify.