Magic Money - The Indonesian Blockchain Association (ABI) recommends that investors and prospective crypto asset investors such as bitcoin , be careful with a cryptocapital asset investment company .
Executive Director of the Indonesian Blockchain Association Muhammad Deivito Dunggio said the characteristics of the crypto asset trading company were sweet promises that the company gave to consumers.
"Before we enter, avoid being too tempted by profitable promises. For example, 100 percent profit in a month. For example, they promised that there were signs," Deivito said after the KVB Journalist Class event in Jakarta, Friday (10/5).
Deivito said that the crypto asset trading company is required by Bank Indonesia to provide a disclaimer that crypto asset trading is a risky activity. Investors must bear their own losses.
"Precisely for example, from several exchanges in Indonesia itself is required from BI to advise in advance that trading of crypto assets is a risky activity. All losses are borne by each individual. The statement must be placed on the home page," said Deivito.
Value of crypto assets based on transactions
For Deivito, crypto asset trading companies should not need to promise profits. Because crypto assets or digital currencies are different from fiat currencies. Fiat currency is money whose value comes from regulation or law by the government and the central bank.
On the other hand this digital currency is determined by means of decentralization, this is caused by a scattered digital cash book called the blockchain .
So, the value of bitcoin is determined based on transactions between sellers and buyers of bitcoins listed on the blockchain . Therefore, if someone wants to buy bitcoin for a price of Rp. 50 thousand or Rp150 thousand, it is fine for Deivito.
"For example, if the fiat money is Rp100 thousand, the price is Rp100 thousand. So if there are people who sell the price of Rp100 thousand at the price of 150 thousand, people do not want to buy it," said Deivito.
"But if there is no one who determines the price. So if the price becomes Rp1,000, it is fine if someone wants to buy. If the price is Rp1 billion, it is fine as long as there is someone who wants to buy and someone wants to sell," he continued .
The Commodity Futures Trading Regulatory Agency (Bappebti) released Regulation No. 5 of 2019 concerning Technical Provisions for the Implementation of the Crypto Asset Physical Market on the Futures Exchange. Through this regulation crypto currencies such as Bitcoin and Altcoin can already be traded on the Indonesian commodity futures exchange.
Then Permendag No. 99 of 2018 states that cryptocurrency such as Bitcoin and Ethereum is officially declared a Crypto Asset and has been registered as a legal item that can be traded as a commodity in Indonesia