Binance Expands Its Presence as Subsidiary Receives Indonesian License
Date: 2024-09-10 Author: Oliver Abernathy Categories: BUSINESS
Binance announced on Monday that its subsidiary Tokocrypto has received a Physical Crypto Asset Trader (PFAK) license from Indonesia’s commodity regulator Bappebti.
Tokocrypto, which was registered as a prospective PFAK in 2019, has successfully completed Bappebti’s requirements to complete the licensing process, the exchange said.
Now that Tokocrypto has received its license, it is legally operating as a physical crypto asset trader.
“This milestone is a testament to Tokocrypto’s continued commitment to regulatory excellence and its vision to develop a robust and transparent crypto ecosystem in Indonesia,” said Binance CEO Richard Teng.
“Binance stands ready to fully support Tokocrypto in its mission to drive the growth of the Web3 ecosystem in the region.”
Binance subsidiary becomes third exchange to receive PFAK license in Indonesia, CEO says
Tokocrypto CEO Yudhono Rawis said the license confirms the platform meets Indonesia’s strict licensing regulations to protect investors’ interests.
“We are proud of this achievement, becoming the third exchange to receive PFAK license in Indonesia, which has 35 promising cryptocurrency exchanges registered in Bappebti,” Rawis added.
Tokocrypto’s user base has surpassed 4.5 million this year, while trading volume has grown by 170% since 2023.
Tokocrypto accounts for 43% of Indonesia’s crypto market
Binance reportedly completed the acquisition of Tokocrypto in December 2022. Former Binance CEO Changpeng Zhao said that Binance had a controlling stake in Tokocrypto from the start, and with the acquisition, it simply increased its investment and stake.
At the start of 2024, Tokocrypto controlled about 43% of the Indonesian cryptocurrency market. This data from CoinMarketCap highlights its strong presence and deep market penetration.
Meanwhile, the Indonesian crypto market is growing rapidly, supported by Bappebti and soon to be regulated by the Financial Services Authority (OJK). In the first two months of 2024, more than 19 million people invested in crypto assets. The growing transaction volumes reflect a thriving market that Tokocrypto is successfully tapping into.
