Crypto exchange Binance said in a Sept. 9 statement obtained by CryptoSlate that its subsidiary Tokocrypto has received a Physical Crypto Asset Trader (PFAK) license from the Indonesian Commodity Futures Trading Regulatory Agency (Bappebti).
With this development, Tokocrypto becomes the third exchange in Indonesia to receive a PFAK license. Currently, there are 35 potential cryptocurrency exchanges in Indonesia registered with Bappebti.
Tokocrypto's growth
Over the past year, Tokocrypto has experienced significant growth, with a user base of over 4.5 million and monthly trading volume growing by 138%, signaling growing confidence in the company's services.
Tokocrypto CEO Yudno Lawis highlighted the importance of the license in achieving the company's goal of becoming Indonesia's leading cryptocurrency trading platform.
“Over the past two years, Tokocrypto has continuously strengthened its efforts to maintain a high standard of regulatory compliance. In the Indonesian market, 35 cryptocurrency exchanges are registered with Bappebti, and we are proud to become the third exchange in this market to obtain a PFAK license.”
Binance, which fully acquired Tokocrypto in late 2022, previously held a majority stake in the company.
Binance CEO Richard Teng praised Tokocrypto's achievement, saying it is a testament to the company's dedication to regulatory compliance. He added that Binance remains committed to supporting Tokocrypto's mission to accelerate the growth of Web3 in the region.
He said:
“Binance is committed to fully supporting Tokocrypto's mission to foster the growth of the Web3 ecosystem in the region.”
Following the news, Tokocrypto's native TKO token rose 15% to $0.3342, according to data from CoinMarketCap.
Binance’s Compliance Efforts
The milestone comes as Binance is expected to strengthen its regulatory compliance efforts under Teng's leadership, as over the past few months the exchange has secured licenses in various jurisdictions, including Kazakhstan and India.
However, Binance has faced difficulties in Nigeria, where authorities have detained executive Tigran Ghanbarian since February.
US Congressman French Hill, who visited Gambarian earlier this year, condemned his continued detention and highlighted his concerns over his deteriorating health.
“This is terrible. It is clear that Tigran's condition is rapidly deteriorating. The Nigerian government should release him immediately.”
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