Indonesia on the Brink of Crypto Revolution: Plans to Create a National Bitcoin Reserve
Indonesia Eyes Bitcoin as a Strategic Asset
The administration of Indonesian Vice President Gibran Rakabuming Raka is exploring the possibility of forming a national bitcoin reserve, reports the local Bitcoin Indonesia community. At a recent meeting with the crypto community representatives, the prospects of direct bitcoin (BTC) purchases and the organization of state mining to accumulate crypto assets were discussed. This initiative could become an important step for integrating cryptocurrencies into the country's economy.
Main Directions of the Initiative
According to Bitcoin Indonesia, the Indonesian authorities are considering several key directions:
State mining. Particular attention is paid to the use of renewable energy sources, such as hydro and geothermal resources, for bitcoin mining. This approach is already successfully implemented in El Salvador, where mining is carried out using volcanic energy. In Indonesia, such an initiative could not only contribute to the accumulation of crypto reserves but also stimulate economic growth by creating new jobs and increasing GDP.
Educational programs. Crypto community representatives emphasized the need to increase the financial literacy of the population regarding cryptocurrencies. The authorities agreed on the importance of launching educational initiatives to inform citizens about the opportunities and risks of digital assets.
Investment potential. The meeting discussed long-term bitcoin growth forecasts. The authorities see cryptocurrency as a promising asset that can complement national reserves.
Economic Context and Motives
Indonesia, with a population of over 280 million people and a GDP of $1.4 trillion, ranks 16th among the world's largest economies. Despite stable macroeconomic indicators — debt to GDP at 39% and inflation around 0.76% at the beginning of 2025 — the interest in bitcoin is not related to the need for inflation protection, as in the case of the US or El Salvador. Rather, the authorities consider cryptocurrency as a tool for reserve diversification and stimulating technological progress.
Regulatory Features
Cryptocurrency regulation in Indonesia is largely similar to the Russian approach. The trading of digital assets is allowed and regulated by the Ministry of Commerce and the Commodity Futures Trading Regulatory Agency (Bappebti). However, since 2017, there is a ban on using cryptocurrencies as a payment method, although in practice, for example, in Bali, there are instances of real estate being paid for with cryptocurrency.
Recently, the authorities have tightened the tax regime for the crypto industry:
The tax on personal income from the sale of crypto assets on local exchanges has been increased from 0.1% to 0.21%, and on foreign platforms from 0.2% to 1%.
The VAT on mining has increased from 1.1% to 2.2%.
These measures reflect the authorities' desire to control the market while maintaining opportunities for its development. In 2023, Indonesia launched the national crypto exchange Digital Futures Exchange, marking an important step in industry regulation.
Global Context
Indonesia's interest in a bitcoin reserve fits into a global trend. El Salvador has been actively accumulating BTC since 2021, owning 6247 BTC as of 2025, and Bhutan has formed the third-largest state bitcoin reserve through mining at hydropower plants. The US is also discussing the creation of a national crypto reserve, emphasizing the growing recognition of bitcoin as a strategic asset.
Prospects and Impact
The creation of a bitcoin reserve in Indonesia could significantly impact the global crypto market, given the scale of the country's economy and its demographic weight. Successful implementation of the initiative, especially in the area of state mining, could serve as an example for other developing countries seeking to integrate cryptocurrencies into their financial systems.