Indonesia: 72% of cryptocurrency exchanges are still losing money, and users exceeding 20 million are still turning to overseas platforms

Data from the Indonesian Financial Services Authority (OJK) shows that by the end of 2025, despite the number of cryptocurrency users exceeding 20 million, about 72% of licensed exchanges have not turned a profit. The total trading volume in 2025 is expected to drop to 4,822.3 trillion Indonesian rupiah (approximately 30 billion USD), a significant decline from 6,500 trillion in 2024.

Indodax CEO William Sutanto pointed out that Indonesian traders are turning to overseas platforms in search of lower fees, faster withdrawal speeds, and to avoid local tax burdens. Domestic exchanges face tax and compliance costs, while overseas platforms can be accessed via VPN without such burdens.

After the regulatory authority was transferred from Bappebti to OJK in January 2025, 29 exchange licenses have been issued, intensifying competition. International giants like Binance and Bybit have entered the market, further squeezing local players. Additionally, Indodax is under investigation by OJK due to customer fund losses of approximately 600 million Indonesian rupiah (about 38,000 USD).