Originally published on: October 29, 2024
Recent data from Indonesia’s commodities regulator, the Commodity Futures Trading Regulatory Agency (Bappebti), revealed an interesting trend in the country’s crypto market. Surprisingly, over 60% of crypto investors in Indonesia are aged 30 and below.
According to the report, 26.9% of these young investors fall in the 18 to 24 age bracket, while 35.1% are in the 25 to 30 age group. The total volume of crypto asset transactions in September amounted to a whopping 33.7 trillion Indonesian rupiah, roughly equivalent to $2.1 billion. The number of crypto users in Indonesia was estimated to be around 21.3 million.
Indonesians showed a preference for trading in various cryptocurrencies, including Tether’s USDt, Ether, Bitcoin, Pepe, and Solana. Despite the country’s recognition of crypto assets as commodities and the regulatory framework established by Bappebti, users face challenges due to the dual tax system for crypto transactions.
In 2022, Indonesia implemented a 0.11% value-added tax and a 0.1% capital gains tax on crypto transactions. However, Bappebti has called for a reevaluation of the tax regime, emphasizing the increasing importance of cryptocurrencies in the country’s economy.
The demographics of crypto users in Indonesia reflect a global trend seen in countries like the United States, where younger generations are more inclined to invest in crypto assets. A survey conducted by Policygenius revealed that Gen Z and millennials are more likely to engage in crypto investments compared to older generations.
Similarly, a Bitget study across 26 countries indicated that 46% of millennials in major economies own cryptocurrencies, pointing to a growing interest in digital assets among young adults.
As Indonesia navigates the evolving landscape of crypto investments, the future of digital assets in the country remains promising, with the potential to become an integral part of its financial sector. Stay tuned for more updates on the exciting world of crypto investments.
