Multiple parties compete for the Indonesian market! The Indonesian exchange acquired by Binance plans to go public within two to three years.

The Indonesian cryptocurrency exchange Tokocrypto, acquired by Binance, plans to go public within the next two to three years.

Tokocrypto Listing Plan

Pang Xue Kai, CEO of Indonesia's first compliant exchange Tokocrypto, revealed in an interview with DealStreetAsia, a media outlet under Nikkei, that Tokocrypto plans to conduct an initial public offering (IPO) in the future. Pang Xue Kai stated that the exchange is currently profitable but needs at least two more years of profitability before going public, so the IPO is still two to three years away.

However, when discussing the possible valuation of Tokocrypto, the CEO mentioned that it is too early to talk about it now as the IPO is still two to three years away. During this time, they will closely monitor the situation of the U.S. exchange Coinbase, continue to watch the market, expand business, and build teams and products.

Established in 2018, Tokocrypto is regulated by the Indonesian Commodity Futures Trading Regulatory Agency (known locally as Bappebti) and received support from the Singapore-based crypto market maker QCP Capital in its early days. In May 2020, Binance announced the acquisition of a majority stake in Tokocrypto, and earlier this year, Tokocrypto launched its Tokocrypto TKO IEO activity on Binance Launchpad. Even without knowing this information, the relationship between Tokocrypto exchange and Binance can be observed from the exchange's UI interface.

Competition for the Indonesian Market

Unlike China's recent strict regulatory policies, although Indonesia prohibits the use of cryptocurrencies as a payment tool, cryptocurrency trading activities in the country are considered legal. The Indonesian government has also expressed plans to tax profits from cryptocurrency trading, further solidifying the legality of cryptocurrency trading in the country.

In this regulatory environment, more and more exchanges are seeking to develop in Indonesia. It is reported that the cryptocurrency exchange Luno under DCG is also seeking to enter Indonesia. According to DealStreetAsia, Luno is in early negotiations with Indonesia's second-largest conglomerate, the Lippo Group, to establish a joint venture to operate in the country. In addition, the local cryptocurrency exchange Pintu announced last week that it raised $6 million from investors including Pantera Capital, Coinbase Ventures, Intudo Ventures, and Alameda Research.