INDONESIA Law and Practice Contributed by: Emir Nurmansyah, Monic N. Devina, D. Meitiara P. Bakrie and Ruth A. Mendrofa, ABNR Counsellors at Law
net tangible assets of more than IDR100 billion; while to be listed on the development board, it must have IDR5 billion in assets and income of more than IDR40 billion. Most companies in Indonesia list their stocks on the main board. The acceleration board is designated for small and medium-scale businesses with a range of assets from IDR50 billion to IDR250 billion. Small and medium-scale companies may list their stocks immediately upon establishment. The financial and accounting requirements and the offering structure for the acceleration board are relatively simple compared with those for the In relation to stock trading, both the OJK and the IDX set out general rules on procedures that need to be implemented by securities bro - kers when handling their customers’ orders. In accepting orders, the OJK requires securities brokers to verify customer identity and record details of the order, such as the number, type and price of the stocks. The securities broker must also maintain a risk-management unit that is responsible for, among other things, verifying orders or instructions from customers to ensure the availability of funds or stocks for settlement of the transaction. Specifically, securities bro - kers that operate a trading platform must ensure that the platform provides information on pro - cedures to handle delays to orders owing to an interruption of the online system. main and development boards. 6.5 Order Handling Rules The IDX also stipulates that a securities broker may only accept and execute a trading order from a board member or member of staff if the securities broker maintains a standard operating procedure that stipulates, among other matters, the prioritising of customer orders.
Recent developments on the order-handling rules are the introduction of an automated ordering feature in the securities-trading plat - form operated by securities brokers. With this feature, a user may order securities based on algorithms and parameters established in the platform, which may include volume, price, instrument, market and time. In order to be able to include this automated ordering feature in its trading platform, the securities broker must first Before the acknowledgment of cryptocurrency as crypto-assets, many players in the sector established peer-to-peer trading platforms to trade various cryptocurrencies. However, since the enactment of regulation on crypto-asset trading on futures and digital exchanges, trad - ing was centralised to the crypto-assets futures exchange. Trading in crypto-assets needs to be carried out via a crypto-assets exchange approved by the OJK. This marks the end of peer-to-peer trading platforms for cryptocurren - cies in Indonesia. obtain prior approval from the IDX. 6.6 Rise of Peer-to-Peer Trading Platforms For stock trading, all activities are centralised with the IDX and every party involved in stock trading needs to obtain a licence beforehand from the OJK and follow the IDX rules. The clos - est structure to a peer-to-peer trading platform is the securities crowdfunding platform stipulated in OJK Reg, 57. This regulation defines securi - ties crowdfunding as an offering of securities by an issuer directly to an investor using a publicly accessible electronic system. The issuer will be exempted from the normal capital market rules on initial public offerings if the offer is through an OJK-licensed provider and only for a period of not more than 12 months; and should not raise more than IDR10 billion.
343 CHAMBERS.COM
Powered by FlippingBook