The cryptocurrency market appears to be growing in popularity. The year 2017 was something of a turning point for cryptos and the performance of bitcoin and several ICOs seemed to have brought cryptos to the forefront of mainstream consciousness.
As a testament to the increasing popularity of cryptos, it could be seen that the largest cryptocurrency exchange platform in Indonesia is set to have more users than there are stock participants in the entire country.
It is indeed astonishing to think that just one platform in the country will soon have more users than the main stock exchange of the same country.
Indonesia Digital Asset Exchange (INDODAX) is a cryptocurrency exchange platform based in Bali, Indonesia. The company was founded in 2013 but began operations the following and Oscar Darmawan is the CEO. The platform was originally called Bitcoin.co.id before being rebranded to INDODAX, on Wednesday, 14 March 2018.
According to the CEO of INDODAX, there are now 1.14 million investors on the platform. INDODAX is expected to have about 1.5 million members by the end of the year. Currently, the Indonesia Stock Exchange has about 1.18 registered participants based on the figures released by the Indonesia Central Securities Depository.
Commenting on the development, Darmawan expressed confidence that INDODAX users will outnumber the country’s stock market participants by the end of the year. He revealed that INDODAX was opening an average of 3,000 new accounts each day.
According to the CEO of INDODAX, Bitcoin is still the most popular cryptocurrency in terms of the trading volume seen on the platform but in recent times, the trading volume of ether has also increased significantly.
Speaking further on the achievements made thus far by INDODAX, Darmawan said that the platform was targeting a 100 percent increase in its average daily trading volume. Currently, the platform processes an average of 100 billion rupiah ($7.3 million).
The Indonesia Stock Exchange, by comparison, processed an average of $550 million worth of trade per day. So, INDODAX still has a long way to go in order to outperform the stock market in terms of 24-h trading volume.
It is important to point out that the companies traded on the country’s stock market have a total market cap of $520 billion.
In 2014, the Indonesian government according to a Reuters report banned the use of Bitcoin and other cryptocurrencies. However, the government ultimately decided not to enforce the ban instead allowing the country’s central bank to issue warnings and take steps to prevent people from transacting in cryptos.
The Central Bank of Indonesia for their part have issued several warnings against cryptocurrencies. Cryptocurrencies are not considered to be legal tender within the country and people are advised not to participate in cryptocurrency transactions.