Binance weighs crypto venture with Indonesia’s richest family, Banking News & Top Stories

JAKARTA (BLOOMBERG) – Binance Holdings is in talks with Indonesia’s wealthiest family, the Hartonos, and a state-owned telecom operator to set up a cryptocurrency trading exchange, according to people with knowledge of the matter.

The world’s largest crypto exchange has been in talks with PT Bank Central Asia, controlled by billionaire brothers Budi and Michael Hartono, and PT Telkom Indonesia at the company, said the people, who asked not to be identified because the matter is private. .

A partnership between Binance, BCA, and the country’s largest telecom operator would drive wider adoption of cryptocurrencies in Indonesia, the world’s fourth-most populous nation, where many adults have little access to bank loans and other forms of formal financing. Aside from the bank, the Hartonos also own a major cigarette manufacturer, a telecommunications services company, and e-commerce businesses.

A deal would give Binance a greater presence in the rapidly developing economy, while allowing the nation’s most powerful entrepreneurs to get involved in digital currencies.

BCA may form a partnership with Binance through another related entity, one of the people said. Discussions are ongoing and the terms of the deal may change, the people said.

A Binance spokesperson declined to comment on the discussions.

“We support the sustainable growth of the blockchain industry globally and constantly seek business opportunities in all countries,” the spokesperson said.

Telkom Indonesia is exploring new opportunities to partner with top players through its MDI Ventures venture capital division, especially considering the potential in the blockchain and crypto markets and the opportunity to take advantage of the group’s connectivity capabilities, said Ahmad Reza. , corporate vice president of the firm. communications and investor relations.

A BCA representative said the lender had not discussed such a strategic investment at its board meeting.

The Indonesian government has supported crypto assets, allowing them to trade alongside commodity futures as an investment option and has lobbied to establish a crypto-focused exchange by the end of the year. The nation does not allow the use of crypto assets as currency, as the rupee is the only legal tender in the country.

Binance already has an investment in Tokocrypto, one of the largest exchanges in Indonesia for trading cryptocurrencies.

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