Indonesia’s Central Bank Wants to ‘Fight’ Crypto With CBDC: Report

“We assume that people would find CBDC more reliable than crypto,” a bank official said.

AccessTimeIconNov 30, 2021 at 9:12 a.m. UTC
Updated Nov 30, 2021 at 3:23 p.m. UTC

Jamie Crawley is a CoinDesk news reporter based in London.

Indonesia is considering developing a central bank digital currency (CBDC) as one way to counter the use of cryptocurrency in the country.

  • Juda Agung, an assistant governor of Bank Indonesia, said in the parliament that a digital rupiah would address the effect crypto trading has on the financial system, Bloomberg reported Tuesday.
  • “A CBDC would be one of the tools to fight crypto,” he said. “We assume that people would find CBDC more reliable than crypto.”
  • Indonesia’s central bank announced its intention to develop a CBDC in May.
  • Religious leaders in the country declared earlier this month that Muslims are forbidden from using crypto owing to elements of uncertainty and wagering. Indonesia has one of the world’s largest Muslim populations.
  • As many as 7.4 million Indonesians were invested in crypto as of July, double the number of a year previously, according to Bloomberg’s report.

Read more about

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

Trending

1
CoinDesk - Unknown
Three Arrows Paper Trail Leads to Trading Desk Obscured Via Offshore Entities

As Three Arrows Capital collapsed under market pressure, its much-lesser known trading desk, TPS Capital, remained active, sources say. But a complex ownership structure might frustrate creditors' efforts to collect.

CoinDesk - Unknown
2
CoinDesk - Unknown
June Was Bitcoin’s Worst Month Ever

Plus, European crypto regulation comes into view.

CoinDesk - Unknown
3
CoinDesk - Unknown
What Traders Are Saying About Bitcoin's Biggest Monthly Loss in 11 Years

Poor macroeconomic sentiment, fears of inflation and systemic risks from the crypto market pushed the cryptocurrency below 2017’s highs.

CoinDesk - Unknown
4
CoinDesk - Unknown
Three Arrows Capital Files for Bankruptcy in New York Tied to British Virgin Islands Proceeding

A British Virgin Islands court ordered Three Arrows' BVI branch into liquidation earlier this week.

CoinDesk - Unknown