Indonesia vs Palau
Crypto regulation comparison
Indonesia
Palau
Legal
Legal
Cryptocurrency is legal in Indonesia and classified as a commodity (not currency). Bappebti regulated crypto since 2019, but authority transitioned to OJK (Financial Services Authority) in January 2025. Under PMK 50/2025 (effective August 2025), crypto transactions incur a 0.21% final income tax via domestic exchanges (1% via foreign platforms). VAT on crypto transfers was abolished as crypto was reclassified as digital financial assets.
Palau has explored blockchain technology and launched a stablecoin program in partnership with Ripple. No income or capital gains tax.
Tax Type
Varies
Tax Type
No tax
Tax Rate
0.21% (domestic exchange) / 1% (foreign platform)
Tax Rate
0%
Exchanges
Yes
Exchanges
Yes
Mining
Yes
Mining
Yes
Regulator
OJK (Otoritas Jasa Keuangan) since January 2025
Regulator
Financial Institutions Commission
Stablecoin Rules
Crypto traded as commodities; stablecoin-specific rules under development with OJK transition
Stablecoin Rules
No specific stablecoin regulation
Key Points
- Crypto regulated by OJK since January 2025, transitioned from Bappebti
- 0.21% final income tax on (PPh Art. 22) crypto transaction value for sales per PMK 50/2025
- VAT abolished under PMK 50/2025; reclassified as digital financial assets
- Only crypto assets approved and listed by Bappebti can be traded on licensed exchanges
- Indonesia launched a national crypto exchange (Bursa Kripto Indonesia) in 2023
Key Points
- Exploring national stablecoin in partnership with Ripple
- No income or capital gains tax
- Uses the US dollar as official currency
- Small but forward-looking approach to digital assets
- Limited domestic crypto infrastructure