Heaptalk, Jakarta — To enhance Commodity Futures Trading (PBK) performance and drive export innovation, Indonesia’s Commodity Futures Trading Regulatory Agency (CoFTRA), under the Trade Ministry, held the DIgital Physical Gold Trade Literacy and Exhibition 2024 at the Novotel Hotel in Tangerang.
The growing trend of digital-physical gold trading in Indonesia has driven the Ministry of Trade, through Bappebti, to strategize expanding the market to the international level.
Delivering his remarks through CoFTRA Secretary Olvy Andrianita, Kasan, the Head of Bappebti, emphasized the critical role of strengthening digital physical gold trading within the PBK industry to support the nation’s Indonesia Emas 2045 Vision.
“Gold trading has transitioned into the digital realm, and Bappebti has regulated digital physical gold trading under CoFTRA Regulation No. 4 of 2019 on Technical Provisions for Digital Physical Gold Trading on Futures Exchanges, as stipulated in Law No. 10 of 2011 amending Law No. 32 of 1997 on PBK. A key aspect of these regulations is ensuring the 1:1 guarantee of physical gold, meaning that the volume traded corresponds exactly to the gold held in authorized depositories. Additionally, trading activities are supported by an ecosystem involving licensed Futures Exchanges, Clearing Institutions, and Depositories,” Kasan explained.
Significant Growth in Digital Gold Trading
This institution reported that as of November 2024, the transaction value of digital-physical gold trading reached Rp53.3 trillion, marking a remarkable 556% increase from Rp8.1 trillion in the same period the previous year. In terms of volume, the trade rose by 430% year-on-year (YoY), amounting to 43.9 tons.
Despite this impressive growth, challenges persist, particularly the public’s limited trust and understanding of digital physical gold trading. CoFTRA’s Secretary Olvy Andrianita emphasized the importance of ongoing public education to raise awareness about this promising alternative investment option.
“Digital gold investment is one of the safest and most suitable investment options for Generation Z. Through educational campaigns, we encourage young people and students to start investing in digital gold,” Olvy remarked.
Olvy also highlighted the transformation of gold investment from conventional methods to digital platforms. “Digital gold transactions are accessible through multimedia marketplaces. She said that they are secure and that gold is relatively stable compared to stocks or cryptocurrencies,” she said.
Strengthening the Digital Gold Trading Ecosystem
Indonesia’s digital-physical gold trading ecosystem currently includes two licensed Futures Exchanges:
- PT Bursa Berjangka Jakarta
- PT Bursa Komoditi dan Derivatif Indonesia
Clearing services are provided by:
- PT Kliring Berjangka Indonesia
- PT Indonesia Clearing House
PT ICDX Logistik Berikat and PT Kinesis Monetary Indonesia manage depository services, while PT ABI Komoditi Berjangka serves as an intermediary for digital gold traders. The Indonesian Digital Gold Traders Association (PPEDI) also plays a significant role in fostering collaboration within the sector.
Six licensed digital, physical gold traders currently operate under Bappebti’s oversight:
- PT Indonesia Logam Pratama (Treasury)
- PT Quantum Metal Indonesia (QuantumMetal)
- PT Syariah Koin Indonesia (Shariacoin)
- PT Indogold Makmur Sejahtera (IndoGold)
- PT Laku Emas Indonesia (LakuEmas)
- PT Pluang Emas Sejahtera
Gold as a Stable and Promising Investment
Olvy reiterated that gold remains the world’s most valuable asset, making it a reliable and promising investment choice. “For instance, if you’re planning a wedding, gold is an excellent option due to its stability and rational value,” she added.
Tirta Karma Senjaya, Head of PBK Development and Supervision Bureau, underlined that digital physical gold trading provides unmatched convenience, speed, and efficiency for the public. Furthermore, the availability of retail-sized gold purchases opens up savings opportunities for younger generations, particularly Gen Z.
“Currently, only six licensed digital gold traders operate in the market. CoFTRA enforces stringent licensing requirements to ensure consumer protection. As transactions continue to grow, we aim to minimize potential complaints,” Tirta explained.
CoFTRA is optimistic that the upward trend in digital gold trading will continue into 2025. “We hope to see significant growth in long-term investments within this sector,” Olvy concluded.
