How to Trade Bitcoin Legally in Indonesia 2021

How to Trade Bitcoin Legally in Indonesia 2021 - The government, through the Commodity Futures Trading Regulatory Agency (CoFTRA), officially allows digital currencies or cryptocurrencies to be traded on futures exchanges. CoFTRA has recognized hundreds of digital currencies, including Bitcoin.

CoFTRA licensing in relation to digital currency activities is spelled out in Regulation No. 7 of the Commodity Futures Trading Supervision Agency regarding the List of Traded Crypto Assets. This regulation comes into force on December 17, 2020.

People can now officially trade bitcoin. Here's how to legally trade bitcoin in Indonesia.

1. Select a bitcoin exchange.

Ljubljana, Slovenia - May 14 Bitcoin and altcoins cryptocurrency close-up. The way to trade bitcoin is to choose a bitcoin exchange or a company that hosts bitcoin transactions recognized by CoFTRA. (Photo: istockphoto / dulezidar)

To complete the process of buying and selling bitcoins, you must use a cryptocurrency exchange or exchange service, also known as a bitcoin exchange.

Bitcoin Exchange is a platform that directly connects Bitcoin sellers and buyers. Select the Bitcoin Exchange company you trade bitcoin with. CoFTRA recognizes 13 bitcoin exchange companies that you can trade bitcoin with.

2. Set up a dedicated bitcoin wallet.

This illustration shows the Coinbase logo on a smartphone in Los Angeles on April 13, 2021. 2021 is one of the most anticipated events of the year on Wall Street, where enthusiasm for record-breaking Bitcoin is in full swing despite questions about market resilience. (Photo by Chris DELMAS / AFP) The way to trade bitcoins is to choose a bitcoin exchange, as well as a dedicated bitcoin wallet to store purchased digital money. (Photo: AFP / CHRIS DELMAS)

The next process after choosing a bitcoin exchange is setting up a dedicated bitcoin wallet or digital wallet to hold the bitcoins you have purchased. Choose a digital wallet with maximum security to keep your money safe, especially from being hacked.

There are several forms of digital wallets that you can use.

Desktop digital wallet

As the name suggests, this wallet is software that can be downloaded and installed on a computer or laptop.

Mobile digital wallet

In a mobile wallet, users can make transactions by scanning a QR code or NFC.

Web digital wallet

This type of wallet is more flexible as it can be accessed from a browser or mobile phone. The only downside to this wallet is its security. 

Hardware digital wallet

Hardware wallets are also known as physical wallets, but are generally not physical wallets. This wallet is shaped like a flash drive. This type of wallet is considered the safest digital wallet. Immunity to viruses and intrusion attempts. To get it, you will have to spend a lot of money, the price of such a wallet ranges from 100-200 US dollars.

3. Registration

Before you can start trading, you must first register with the Bitcoin exchange. The registration process includes filling in personal data. After filling in the data, carefully read the privacy policy and the agreement concluded with the company.

After registration, you will be prompted to verify your details to prevent money laundering. After passing the verification, you can make Bitcoin purchase transactions. Choose the most simple and convenient payment system for you.

After a successful transaction, you can store digital money in a dedicated Bitcoin wallet. This is the legal way to trade bitcoin in Indonesia.