Indonesia’s Financial Services Authority Appoints Hasan Fawzi as Head of Fintech and Crypto Oversight

Indonesian financial services watchdog appointed Hasan Fawzi, a former Indonesia Stock Exchange executive, as the head of fintech and digital assets oversight and innovation. 

Fawzi has served as the Director at Indonesia Bond Pricing Agency (IBPA) since 2008, which is a licensed securities pricing agency and a subsidiary of the Indonesia Stock Exchange (IDX). 

He has joined the country’s Financial Services Authority (OJK), which regulates and supervises the financial services sector, along with another new member, according to several news outlets, including Tech in Asia, The Jakarta Post, and the Asia Topnews Media.

Per the reports, the House of Representatives Commission, which oversees banking and finance, approved Fawzi and Lodewik Paulus Agusman as members of the OJK Board of Commissioners after the two passed “the aptitude test” on Monday.

Fawzi is now the Executive Director for the Supervision of Technological Innovation in the Financial Sector, Digital Financial Assets, and Cryptoassets. 

Therefore, peer-to-peer lending platforms, crypto, and other elements of the developing industry are within his domain.

Agusman, who previously headed the internal audit department at the central Bank Indonesia, was elected Director General for the Supervision of Financial Institutions, Venture Capital Companies, Microfinance Institutions, and Other Institutions Providing Financial Services. 

The candidates were interviewed at the House, and will now need to be approved by President Joko Widodo.

Crypto Relationship Status: It’s Complicated

The country seems to be working towards enabling crypto usage, but issues remain.

As reported, in late February, Didid Noordiatmoko, head of the country’s Commodity Futures Trading Regulatory Agency (Bappebti), said that the nation aimed to launch its much-anticipated state-backed crypto exchange by mid-2023. 

He added that the exchange will be run by a private-sector company rather than the government. Also, private-sector crypto platforms will execute trades on the exchange. 

Yet, in late May, Bali Governor Wayan Koster suggested that the popular Indonesian tourist island will tighten rules around payments to make it harder for foreign tourists to pay with crypto.

“Foreign tourists who behave inappropriately, do activities that are not allowed in their visa permit, use crypto as a means of payment, and violate other provisions will be dealt with firmly,” the Governor said.

Bank Indonesia’s Bali Representative Office, Trisno Nugroho, reiterated at the time that while cryptocurrency itself is legal in Indonesia, its use as a payment instrument is not.

Violators in Bali could face imprisonment of up to one year and a maximum fine of 200 million Indonesian rupiah ($13,300) under Indonesian law.

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Learn more: 

– Indonesia to Launch Crypto Exchange This Year as Regulatory Powers Shift to Financial Services Authority
– Indonesian Regulator Warns About Cryptoasset Offers, Sales by Financial Services Companies

– Giant Indonesian Market Gets ‘First’ Regulated Local Crypto Exchange
– How to Choose a Cryptocurrency Exchange?