The Commodity Futures Trading Supervisory Agency of Indonesia (Bappebti) immediately terminated unauthorized investment accounts. A total of 67 entity site domains in commodity futures trading were brushed.
Every party from Indonesia and / or abroad that has not obtained a business license from Bappebti is prohibited from carrying out any Futures Trading business activities. This is important to know, even though it claims to have legality from foreign regulators.
Head of Legislation and Enforcement Bureau of CoFTRA, M. Syist, explained that CoFTRA has made restrictions so that internet sites cannot be accessed in Indonesia. This futures broker usually uses an introducing broker as a representative in Indonesia.
“They confidently offer commodity, forex, and index futures contracts in Indonesia on the pretext that they have obtained legality from the regulator where the company originates. Of course this violates the provisions of the prevailing laws and regulations in Indonesia and has the potential to harm society,” added Syist. quoted from the official statement, Tuesday (17/2/2021).
In addition to the overseas futures broker site domain, there is also a site domain of brokers that carry out binary options activities which are closed by Bappebti. The reason is that binary options are not in accordance with the prevailing laws and regulations in commodity futures trading in Indonesia.
“Given that binary options currently circulating in society do not have the legality of regulators in Indonesia, if a dispute occurs between a customer and a binary option application provider, Bappebti as the regulator in the futures trading sector cannot facilitate the customer during mediation,” he explained. Syist.
In addition, the binary options application provider does not have a representative office in Indonesia. So, if the community feels aggrieved, neither party can be held responsible. Its legality abroad is also uncertain and requires a lot of money in settling disputes between customers and providers of binary options applications.