Prop Trading Regulations in Indonesia Explained
Indonesia changed who regulates this in January 2025 and the handover is still in progress. Any page telling you Bappebti supervises all of it is working from old information. General information, not legal or tax advice.
Three Regulators Now, Not One
Under the P2SK Law, numbered 4 of 2023, and Government Regulation 49 of 2024, Bappebti handed over large parts of its remit. The transfer documents were signed on 10 January 2025.
Digital financial assets, crypto included, went to the OJK. So did financial derivatives in the capital market, which covers products with underlying securities such as stock indices and single foreign stocks.
Derivatives with money market and foreign exchange underlyings went to Bank Indonesia instead.
Commodity futures were not in the transfer and stay with Bappebti.
That is prop trading regulations in indonesia explained in one line. Which regulator applies depends on the instrument you trade rather than the firm you trade with, so index CFDs and FX now sit with different authorities.
The transition is also unfinished. Licences Bappebti already issued stay valid, existing transactions continue under Bappebti rules until changed, and full handover is set to complete within twenty four months of the P2SK Law.
What Licensing Means in Practice
None of that changes the basic position for an offshore firm. Offering this to Indonesian residents requires authorisation here, and the overwhelming majority of prop firms hold none.
Indonesia enforces by blocking. Bappebti has blocked trading sites in batches for years and the cumulative lists reported domestically run into the thousands. A blocked site is a regulatory action, not a fault at your end.
Operating without the required licence is an offence under the commodity futures legislation. Penalty figures circulating in trading content often trace back to a parliamentary proposal from over a decade ago rather than current statute, so treat specific numbers you read elsewhere with suspicion.
What it means for you is the familiar part. No Indonesian authority supervises the firm, and no local compensation route exists.
Where a Simulated Account Sits
Here is the distinction that actually matters.
A simulated evaluation account is not a futures or derivatives transaction. You are not buying or selling a contract, no position exists at an Indonesian institution, and a payout is a performance based payment for a service. TTT Markets runs its evaluations this way, as do most firms in this category.
That is a real argument the licensing regime does not reach the model. It has not been tested by any of the three regulators, and nobody should tell you otherwise.
Tax Is Worldwide and Self-Assessed
Indonesian tax residents are taxed on worldwide income, so a payout from a firm registered anywhere is reportable here.
Progressive rates run 5 percent up to 60 million rupiah, 15 percent to 250 million, 25 percent to 500 million, 30 percent to 5 billion, and 35 percent above that. The personal non-taxable threshold is 54 million rupiah, with additions for a spouse and up to three dependents.
Indonesia works on self assessment and nothing is withheld from a foreign payout, so the filing is yours to start. Whether any simplified small business regime could cover this income is a question for a konsultan pajak rather than a forum.
Conclusion – Prop Trading Regulations in Indonesia Explained
Prop trading regulations in Indonesia explained come down to three questions. Which regulator covers your instrument after the 2025 handover, whether the firm holds any Indonesian authorisation, and how you report the income. The first has changed, the second is usually no, and the third is yours alone.
FAQ – Prop Trading Regulations in Indonesia Explained
1. Who regulates forex trading in Indonesia now?
Derivatives with foreign exchange underlyings moved to Bank Indonesia under the P2SK Law. Capital market derivatives and crypto went to the OJK. Commodity futures stayed with Bappebti.
2. Why can I not open some broker websites?
Bappebti blocks sites offering futures trading without authorisation, and the published lists run into the thousands. That is a regulatory block, not a technical fault.
3. Do I pay Indonesian tax on prop payouts?
Yes if you are a tax resident. Indonesia taxes worldwide income on self assessment, rates reach 35 percent, and nothing is withheld for you.
We have helped thousands of traders reach funding at TTT Markets from account sizes of $5k upwards to $500k. Check out our programs.
Additional resources:
support@tttmarkets.com
WhatsApp Support →
