Bitcoin News Today: Indonesia Considers Bitcoin for National Reserves Amid Economic Strategy Talks

The Indonesian government is currently exploring the possibility of incorporating Bitcoin as part of its national reserve assets, according to reports from Bitcoin Indonesia, a local Bitcoin advocacy group. In a recent meeting with officials from the office of Vice President Gibran Rakabuming Raka, the group presented a strategy centered on Bitcoin’s potential to strengthen Indonesia’s long-term economic position [1]. This move aligns with global trends where some governments are considering digital assets as a means of economic diversification and inflation hedging [2].

The discussions, which took place on August 5, 2025, included a focus on Bitcoin mining and education initiatives. Bitcoin Indonesia highlighted the country’s abundant hydroelectric and geothermal resources as a key advantage for mining operations, suggesting the potential to create jobs and drive economic growth [3]. Additionally, the group referenced Michael Saylor’s forecast that Bitcoin could reach $13 million in a base-case scenario by 2045, indicating a forward-looking approach to the digital asset’s value [4].

While Bitcoin has not yet been officially added to Indonesia’s reserve assets, the involvement of the Vice President’s office signals a high level of political engagement with the idea. The presentation emphasized the need for a robust education campaign to increase public understanding of Bitcoin, a point reportedly supported by officials from the Vice President’s team [5].

Despite this interest, Indonesia maintains strict regulations on cryptocurrency usage. The country currently prohibits the use of digital assets for payments and recently increased taxes on crypto-related activities, including a doubling of income tax on domestic crypto sales from 0.1% to 0.21% and a fivefold increase in taxes on foreign exchanges from 0.2% to 1%. Additionally, the value-added tax on mining activities rose from 1.1% to 2.2% [6].

Enforcement of the crypto payment ban has been inconsistent. Although the government reaffirmed its stance in 2023, with officials stating that crypto-based transactions by tourists would be dealt with firmly, real-world enforcement appears limited. For instance, in Bali, some real estate listings have been observed accepting Bitcoin payments, indicating a gap between policy and practice [7].

Indonesia’s economic position may also influence its approach to Bitcoin as a reserve asset. With a debt-to-GDP ratio of 39% and an annual inflation rate of 0.76% (as of January 2025), the country’s need for a reserve asset to hedge against inflation is less pressing compared to economies with higher fiscal risks [8].

As the discussions continue, the outcome remains uncertain. While the Vice President’s office has shown interest, no formal policy changes have been announced, and the initiative is still in the exploratory phase. Nonetheless, the engagement of high-level officials and the proposed integration of Bitcoin into national planning could signal a broader shift in how Indonesia approaches digital assets [9].

[1] https://www.cryptopolitan.com/indonesia-explores-national-bitcoin-reserve/

[2] https://coincentral.com/indonesia-explores-bitcoin-for-national-reserves-after-key-meeting/

[3] https://www.instagram.com/p/DM_TEiCI7iY/

[4] https://www.ainvest.com/news/bitcoin-news-today-bitcoin-indonesia-meets-vp-office-discuss-economic-strategy-crypto-education-2508/

[5] https://thecryptobasic.com/2025/08/05/indonesia-considers-bitcoin-as-part-of-national-reserve/

[6] https://www.bitcointalk.org/index.php?topic=5522234.1060

[7] https://www.binance.com/en/square/post/08-05-2025-indonesia-explores-bitcoin-as-national-reserve-asset-27907694531466

[8] https://www.panewslab.com/en/articles/33887812-83a0-4523-a1bd-2e537558d919

[9] https://cointelegraph.com/news/indonesia-exploring-bitcoin-reserve-strategy?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound