Binance formed a joint venture with a consortium led by Telkom Indonesia’s $ 830 million venture capital arm. Binance aims to “expand the blockchain ecosystem in Indonesia by developing a new digital asset exchange based in Indonesia.”
Binance Building Cryptocurrency Exchange in Indonesia
Cryptocurrency and blockchain infrastructure provider Binance announced Wednesday that it has established a joint venture with a consortium led by MDI Ventures (MDI), Telkom Indonesia’s $ 830 million venture capital arm. Telkom Indonesia is the largest telecommunications company in the country.
The goal of the joint venture is to “expand the blockchain ecosystem in Indonesia by developing a new digital asset exchange based in Indonesia,” the announcement details, detailing:
Binance will provide world-class asset management infrastructure and technology to support the development of the new exchange platform.
“Our ambition at Binance is to grow the blockchain and cryptocurrency ecosystem globally, and this initiative in Indonesia is a significant step in that direction,” commented Binance CEO Changpeng Zhao (CZ).
Zhao revealed last week: “We are making a number of very substantial changes to organizational structures, product offerings, our internal processes and the way we work with regulators.” He specifically detailed that his company is “in the process of establishing royal offices, legal entities, a proper board, proper governance structures in most places, including the UK.”
This week, Binance announced that it will be ending its crypto exchange in Singapore. “Binance made a considerable investment in the HGX regulated exchange last week. This investment made our own application somewhat redundant. We will continue to work through our partners to expand the crypto industry in Singapore, ”Zhao explained.
The Indonesian government has previously indicated that it would not impose a complete ban on cryptocurrencies like China has done. Crypto assets can be traded alongside commodity futures in Indonesia, but cannot be used as currency. The government is also pushing to establish currency crypto and the Bank of Indonesia is exploring a central bank digital currency (CBDC).