Bitcoin Indonesia Proposes National Reserve Strategy
Bitcoin Indonesia recently engaged in a significant meeting with the office of Indonesia’s Vice President. The purpose was to propose the use of Bitcoin as a national reserve asset. This meeting included key personnel from Vice President Gibran Rakabuming Raka’s office.
In a post on X, Bitcoin Indonesia shared, “We were invited to the Vice President’s office to present how Bitcoin could benefit the country.” This highlights the growing interest in digital currencies and their potential role in Indonesia’s economic strategy.
The discussions extended to the idea of incorporating Bitcoin mining into a national reserve strategy. The proposal underscored the importance of Bitcoin education programs to foster understanding and encourage adoption across the nation.
Indonesia’s Economic Landscape and Bitcoin’s Role
Home to 280 million people, Indonesia ranks as the fourth most populous country globally, with a GDP of $1.4 trillion, placing it 16th worldwide. The discussions with the Vice President’s office emphasized the potential alignment of Bitcoin mining and educational initiatives with Indonesia’s broader economic plans.
Bitcoin Indonesia highlighted the untapped potential of hydroelectric and geothermal energy resources for Bitcoin mining. These resources could stimulate job creation and economic activity, as seen in other nations utilizing similar strategies.
During their presentation, Bitcoin Indonesia referenced a Bitcoin price prediction by Michael Saylor, suggesting values of $13 million by 2045 in a base case scenario and $49 million in a bull case. This projection was intended to showcase the potential scale of Bitcoin’s future value.
Focus on Bitcoin Education
Education emerged as a critical focus area. An official from the Vice President’s office emphasized the need for ongoing Bitcoin education in Indonesia, stating, “Indonesia must also continue to educate about Bitcoin in the future.” This initiative aims to build awareness of Bitcoin’s potential as a reserve asset.
Indonesia’s Economic Indicators
Indonesia’s economic indicators present a unique scenario compared to other countries exploring Bitcoin reserves. The nation’s debt-to-GDP ratio stands at 39%, significantly lower than many countries considering Bitcoin as a hedge against debt. Additionally, the inflation rate was 0.76% in January 2025, reflecting price stability.
These figures suggest that Indonesia’s interest in Bitcoin is not driven by urgent financial pressures. Instead, the focus is on integrating Bitcoin mining and education into the country’s economic framework.
Regulatory Landscape: Crypto Taxes and Payment Ban
While crypto trading is permitted, Indonesia maintains a ban on crypto payments. Recently, the Finance Ministry increased taxes on crypto trading and mining. Income tax on crypto sales through local exchanges rose from 0.1% to 0.21%, and from 0.2% to 1% for foreign exchanges. Additionally, the value-added tax (VAT) on crypto mining doubled from 1.1% to 2.2%.
Despite the payment ban, which has been in place since 2017 and reaffirmed in 2023, enforcement remains inconsistent. For instance, some property listings in Bali openly accept Bitcoin, highlighting the challenges in regulatory compliance.
Bitcoin Indonesia drew parallels with countries like the United States, where Bitcoin is seen as a reserve hedge against growing debt-to-GDP ratios. The discussions in Indonesia reflect a nuanced approach to integrating Bitcoin into the national economic strategy.
The meeting underscores Indonesia’s official engagement with Bitcoin, highlighting the intersection of crypto regulation and reserve strategy in the country’s policymaking.
