JAKARTA \u2014 Preparations are under way to develop stablecoins in\nIndonesia, alongside plans to formulate regulations with an initial\ndirection targeted for January 2027. These digital assets are designed\nto maintain a relatively stable value and could be used in digital\nfinancial services, but carry risks related to asset reserves, liquidity\nand redemption mechanisms.<\/p>\n
Bittime Operations Director Ryan Lymn said stablecoin development\nrequires a clear regulatory framework so that users understand the\nfunction and risks of the instrument. Regulation is also needed to\nensure transparency and consumer protection in its use.<\/p>\n
\u201cStablecoins are an interesting development in the digital finance\necosystem because they serve a different function from crypto-assets,\nwhose prices are more volatile. However, their use needs to be supported\nby regulatory clarity, transparency and consumer protection,\u201d Ryan said\nin a statement on Saturday (17 October 2026).<\/p>\n
The Financial Services Authority (OJK) is preparing regulations for\nstablecoins, with an initial direction targeted for January 2027.\nDiscussions cover the potential use of the instruments as programmable\nmoney, as well as governance, asset reserves, redemption mechanisms and\nconsumer protection.<\/p>\n
Stablecoins are digital assets designed to maintain a relatively\nstable value by reference to a particular asset, such as an official\ncurrency. This distinguishes them from other crypto-assets, whose prices\ncan fluctuate more widely.<\/p>\n
Although designed to have a stable value, stablecoins still carry a\nnumber of risks, including issuer risk, the adequacy of reserve assets,\nliquidity availability and users\u2019 ability to redeem their holdings.<\/p>\n
\u201cMarket growth needs to be matched by a sound understanding of how\neach instrument works. Stablecoins are designed to maintain a stable\nvalue against their reference asset, but that does not mean they are\nrisk-free,\u201d Ryan said.<\/p>\n
Plans to develop stablecoins come amid growing digital-asset trading\nactivity in Indonesia. According to OJK data, the number of crypto-asset\nconsumer accounts reached 23.21 million in August 2026.<\/p>\n
In the same period, crypto-asset transaction value stood at Rp23.16\ntrillion, up 12.87 per cent from July 2026. The increase indicates\nrising digital-asset trading activity, although it does not directly\nreflect demand for stablecoins.<\/p>\n
Alongside stablecoins, the development of digital instruments also\nincludes asset tokenisation. The OJK is drafting a regulation on the\noffering of tokenised assets.<\/p>\n
Tokenisation allows the rights or value of an asset to be represented\nas a digital token using blockchain technology. However, owning a token\ndoes not always confer the same rights as direct ownership of the\nunderlying asset.<\/p>\n
Token holders\u2019 rights, transaction mechanisms and consumer\nprotections depend on the structure and terms of each product. Consumers\nshould understand these differences before using tokenisation-based\ninstruments.<\/p>\n
\u201cStablecoins and tokenisation have different functions and\ncharacteristics, so their regulatory approaches need to take account of\nthe structure and risks of each product,\u201d Ryan said.<\/p>\n
In Indonesia, tokenisation-based products are beginning to become\navailable through several digital-asset trading services. Bittime, for\nexample, offers tokenised US stocks, giving users exposure to price\nmovements in assets linked to US companies\u2019 shares through digital\ntokens.<\/p>\n
These products differ from direct share ownership through\nconventional capital markets. Users should therefore understand the\nrights they receive, the trading mechanisms and the risks that apply to\nthe product.<\/p>\n
Ryan said the development of digital-asset products should be\naccompanied by clear information for consumers, including explanations\nof each product\u2019s function, transaction mechanisms and potential\nrisks.<\/p>\n
\u201cFor Bittime, the development of the digital-asset ecosystem is not\nonly about a wider range of products, but also about consumers\nunderstanding the function, mechanisms and risks of each instrument,\u201d\nRyan said.<\/p>\n
Regulation of stablecoins and tokenisation remains at the preparatory\nstage. Clarity on governance, asset reserves, user rights and\nconsumer-protection mechanisms will be important to the development of\nboth instruments.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/stablecoin-development-planned-in-indonesia-opportunities-and-risks-1792223430", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }