One Indonesia’s tech giants – PT GoTo Gojek Tokopedia (commonly known as GoTo) – has reportedly purchased cryptocurrency exchange PT Kripto Maksima Koin for 124.84 billion rupiahs (about $8.4 million). The firm stated that the purchase agreement aligns with its goal to become a diverse money management hub.
Reuters coverage recently revealed that Indonesia’s biggest tech firm – GoTo – has acquired 100% of the shares of cryptocurrency exchange PT Kripto Maksima Koin for about $8.5 million. The firm, which raised $1.1 billion in an IPO a few months ago, had predicted that blockchain technology will have a vital role to play in the future of finance. GoTo did not share any further information following the deal.
Last November, the National Ulema Council (MUI) said the use of crypto should be banned, quoting Shariya law. At the beginning of 2022, the Tarjih Council and the Central Executive Tajdid of Muhammadiyah issued another warning, citing cryptocurrencies as “haram” ( forbidden by God). Bank of Indonesia also vowed to fight digital assets that harm the country’s financial sector by launching a central bank digital currency (CBDC).
Despite Indonesia’s central bank and some local Islamic organizations taking a negative stance against cryptocurrency, the digital asset sector has become quite popular in the Asian nation. According to a Gemini survey, Indonesia is the global leader in terms of crypto adoption, sharing top spot with Brazil.
In April this year, Gemini’s study estimated that Indonesia and Brazil are the undisputed leaders by means of cryptocurrency adoption in their countries. 41% of the surveyed residents in both countries admitted they had invested substantial wealth in the asset class. The high figures come despite the hostile stance towards cryptocurrency displayed by some Islamic entities.
At the end of 2021, the world’s largest crypto exchange – Binance – revealed plans to collaborate with Indonesia’s richest family – the Hartono brothers. Their partnership was to establish a digital asset venture in the country. A few days later, Binance doubled down on its cryptocurrency efforts in Indonesia and partnered with MDI Ventures, a multi-stage venture capital firm backed by Telkom Indonesia (Indonesia’s largest telecommunication provider).
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