A legal expert has raised concerns over ongoing regulatory gaps upon the implementation of Law No. 4/2023 on the Development and Strengthening of the Financial Sector, warning that these gaps pose serious risks to the rapidly growing cryptocurrency and forex industries in Indonesia.

“There is currently a legal vacuum that could be exploited by unscrupulous business actors. In some cases, customers have experienced difficulties withdrawing their funds for months, which severely undermines the national investment climate,” Adam Daniel told a press conference in Tangerang, Banten on Tuesday, June 10, 2025.

He said that the enactment of Law No. 4/2023 has significantly altered the regulatory landscape for digital asset trading in the country. Oversight, previously concentrated under the Commodity Futures Trading Regulatory Agency (Bappebti), is now distributed across several institutions, including the Financial Services Authority (OJK), the Indonesian Central Bank (BI), and Bappebti, depending on the type of financial product.

According to Adam, while investor interest in crypto and commodities is on the rise, this momentum could reverse if not accompanied by a solid legal framework.

Bappebti reported that Indonesia’s commodity futures trading volume in 2024 surpassed Rp33 trillion (US$2 billion), marking a 29.34 percent increase from the previous year. Meanwhile, data from the OJK shows that crypto asset transactions in Indonesia totaled Rp650 trillion as of December 2024, with daily transaction volumes reaching Rp2 trillion.

Indonesia ranked third globally in the 2024 Global Crypto Adoption Index, with more than 22 million domestic crypto trading accounts − underscoring the nation’s growing role in the global digital asset landscape.

“We must not allow regulation to lag far behind industry growth. I appreciate the ongoing transitional efforts by regulators, but I urge them to expedite the formulation of comprehensive rules to ensure legal certainty and investor protection,” Adam said.

He emphasized that legal clarity is essential to creating a stable and sustainable investment environment. Without sufficient legal safeguards, risks of fraud, fund misuse, and misinformation could intensify.

“We all support innovation in digital finance, but it must operate within an orderly framework. Clear regulations are the best protection for both the industry and the public,” he concluded.