INDONESIA Trends and Developments Contributed by: Vik Tang, Michelle Virgiany, Almira Tengku, Ruth Ginting and Ryu Wirjadi, Hiswara Bunjamin & Tandjung in association with Herbert Smith Freehills Kramer
In the digital assets and crypto-assets sector, OJK Regulation 27 of 2024 initially referred to the gener - ally applicable OJK Regulation 27 of 2016. However, this approach provided limited clarity on administra - tive documentation, particularly following the formal transfer of supervision of digital assets and crypto- assets from Bappebti to the OJK on 10 January 2025, and in the absence of an implementing OJK circular letter tailored to the sector. Similarly, OJK Regulation 29 of 2024 on ACS and OJK Regulation 4 of 2025 on financial services aggrega - tors each introduced their own FPT provisions without reference to the general FPT framework under OJK Regulation 27 of 2016. This resulted in parallel and, at times, overlapping requirements across different ITSK business models. OJK Regulation 16 formally revoked and replaced the FPT and reassessment provisions previously embed - ded in these regulations, creating a unified and sec - tor‑specific framework for ITSK operators. Key substantive enhancements under OJK Regulation 16 and the FPT Circular Letter are as follows: • More substantive and capability‑based assess - ment of main parties. The OJK now places greater emphasis on the experience, competence, and strategic capacity of management teams, particu - larly in relation to the relevant industry and their ability to develop and sustain the business of the ITSK operator. • Introduction of flexibility in assessing complex ownership structures. Where the ultimate share - holder of a controlling shareholder is a foreign government and is subject to restrictions on the provision of data and documents, the OJK may determine an alternative ultimate shareholder that is directly controlled by the relevant foreign govern - ment to act as a substitute for FPT purposes. • ITSK operators are required to update their data and domicile information within seven months from the effective date of the regulation, ie, by 1 May 2026. This requirement underscores the OJK’s focus on data accuracy and ongoing supervisory visibility.
• Expanded administrative requirements under the FPT Circular Letter, which significantly expands the administrative documentation required for FPT and reassessment processes. These include, among others, police clearance certificates ( Surat Keterangan Catatan Kepolisian or SKCK), detailed information on the source of funds supported by bank transfer evidence or account statements, and comprehensive curriculum vitae of ultimate share - holders. The increased documentation burden brings FPT requirements for ITSK operators closer to those traditionally imposed on regulated finan - cial services institutions. OJK Regulation 16 represents a clear continuation of the OJK’s broader policy direction to align govern - ance standards in the digital finance sector with those applicable to traditional financial services. While the transitional provisions permit ongoing FPT processes to continue to refer to previously applicable require - ments, in practice the OJK retains discretion under OJK Regulation 16 to apply updated policies. In practice, the OJK has started requiring compli - ance with OJK Regulation 16 and the FPT Circular Letter – including the use of new forms and updated documentation – even for FPT processes that com - menced before the new regulation took effect. This underscores the importance for ITSK operators and prospective investors to anticipate regulatory expec - tations beyond the literal transitional wording of the regulation. Financial Services Conglomeration As part of Indonesia’s broader transition to a more integrated supervisory framework, the OJK issued Regulation 30 of 2024 on Financial Conglomeration and Financial Holding Company (“OJK Regulation 30”), introducing a consolidated oversight model for groups that own or control multiple financial services institutions across different sectors. OJK Regulation 30 aims to strengthen group‑level prudential supervision and enhance the OJK’s visibility over systemic risks arising from multi‑entity financial groups. The regulation requires the controlling share - holders and/or ultimate controlling shareholders of financial services institutions within a single “financial
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