Indonesia will sharply increase taxes on cryptocurrency transactions from 1 August under a finance-ministry regulation published on 30 July. Sellers on domestic exchanges will pay a 0.21% levy on each trade, more than double the current 0.1%, while those using overseas platforms face a five-fold jump to 1%. The overhaul also abolishes value-added tax for buyers, removes a preferential 0.1% income-tax rate for crypto mining from 2026, and doubles the VAT on mining services to 2.2%. The measures accompany the reclassification of digital assets as financial instruments overseen by the Financial Services Authority, replacing their previous treatment as commodities. Jakarta is seeking to capture a larger share of revenue from a fast-growing market that saw crypto transaction values more than triple to over 650 trillion rupiah (US$39.67 billion) in 2024, with more than 20 million exchange users—exceeding the country’s stock-market investor base. Binance-backed exchange Tokocrypto said it supports the policy shift but urged a one-month grace period to adjust systems and called for tighter oversight of foreign platforms, where enforcement of the new 1% tax will depend on voluntary compliance or user self-reporting.