Indonesia's Amended P2SK Law Extends Consumer Protections to Crypto Assets
Key Takeaways
- 01Crypto assets are now formally under Indonesia's financial sector consumer protection framework, applying to traders, exchanges, custodians, and others designated by OJK.
- 02OJK gains expanded supervisory powers to suspend or block non-compliant crypto transactions, including foreign activities.
- 03Liability for consumer losses extends to management, third parties, controlling parties, and shareholders of Crypto and Digital Asset Institutions.
- 04Cross-sectoral task force mandate expanded to cover consumer protection and misconduct.
- 05Restorative justice mechanism introduced for certain financial sector criminal offenses, while overall framework remains unchanged.
The Amended P2SK Law (Law No. 4 of 2026, amending Law No. 4 of 2023 on Financial Sector Development and Strengthening, enacted on 17 June 2026) formally incorporates crypto assets into Indonesia’s financial sector regulatory framework by expressly applying existing consumer protection provisions to crypto asset financial services. This covers crypto asset traders, exchanges, clearing and settlement institutions, centralized custodians, and other entities designated by the Financial Services Authority (OJK). OJK’s supervisory powers over Crypto and Digital Asset Institutions are expanded to suspend or block non-compliant transactions and activities, including those by foreign parties, in coordination with relevant ministries and agencies.
The law clarifies and broadens responsibility for consumer losses resulting from errors, negligence, or regulatory violations by Crypto and Digital Asset Institutions. Liability now extends beyond management and third parties to include controlling parties and shareholders, providing a stronger statutory basis for accountability than previously existed in the sector.
The mandate of the cross-sectoral task force, established under the original P2SK Law, is expanded to expressly include consumer protection. This covers preventing unauthorized financial activities and addressing misconduct by licensed entities, such as violations of debt collection rules, misuse of consumer data, and breaches of consumer protection regulations.
The Amended P2SK Law introduces the option of restorative justice for certain criminal offenses in the financial sector, as recognized under Law No. 20 of 2025 on Criminal Procedural Law. Despite these enhancements, the overall consumer protection framework remains largely unchanged, continuing to apply primary protections to financial sector businesses (PUSKs) throughout the lifecycle of products and services.
Existing obligations persist, including consumer rights, business duties, prohibited conduct, standard clauses, data protection, and dispute resolution. Violations of these rules are subject to administrative and criminal penalties.