Cryptocurrency let for Trading as Commodity in Indonesia

Indonesia’s Ministry of Trade has allowed cryptocurrency trading on futures exchanges as a commodity
05 June 2018   1218

As reported in the local news sourse, the positive decision towards crypto trading follows a 4-month research by the regulator into the subject before the regulator enclosed that cryptocurrencies like Bitcoin have to be classified as commodities. Dharma Yoga, the agency’s market supervision chief, stated that the agency had signed a formal decree “to make cryptocurrency a commodity that could be traded at the bourse”.

In the near future supporting regulations of cryptocurrency exchanges, wallet providers and mining companies, taxation and prevention of money laundering and terrorism financing via cryptos will also take place, according to Yoga. The issuance of these regulations will comprise a number of other authorities including Bank Indonesia (BI), the country’s central bank, and the Financial Services Authority (OJK), the country’s financial regulator.

These events come despite the central bank prohibiting cryptos as a payment means late last year. Bank Indonesia confirmed that stance and warned “all parties not to sell, buy, or trade virtual currency” in January.  The cryptocurrency adopters in Indonesia haven’t been discouraged in a flourishing market that sees INDODAX, one of the country’s largest cryptocurrency exchanges, on track to have more registered customers than the country’s national stock exchange.

Yoga also stated that the authority is calling on exchanges like INDODAX to give reports on product specification and training procedures to help develop a more advanced regulatory framework.

Binance to Launch BTC-Pegged Own Chain Based Token

In this way exchange wants to transfer crypto based on own blockchains to its ecosystem and  increase liquidity and trading volumes at Binance DEX
17 June 2019   158

In the coming days, Binance Exchange will launch a series of BEP2-tokens, tied to different cryptocurrency rates, on its own Binance Chain blockchain. The first token of this type will be BTCB - its rate is tied to Bitcoin.

BTCB is backed with bitcoins located in Binance reserves. The address for storing bitcoins has already been made publicly available, so that users can verify that the token has the necessary support.

In the future, the BTCB / BTC trading pair will be launched on Binance.com. With its help, users will be able to convert the original cryptocurrency into the Binance Chain token. The price spread in this case will be about 0.1%.

According to Binance, in this way it can transfer cryptocurrencies based on its own blockchains to its ecosystem and currently not represented in the Binance Chain. The company expects the launch of new tools to increase liquidity and trading volumes at Binance DEX.

While this approach is more centralized than atomic swaps, we believe it provides a higher degree of ease-of-use to most traders. And most traders are already trusting Binance.com to hold their funds anyway.
 

Binance Team

To date, Binance has independently reserved 9,001 BTC and released 9,001 BTCB. The BTCB / BTC trading pair on Binance.com will tentatively appear within a day, and an asset will be added to Binance DEX after approval of the relevant offer.