Speaking at a recent tourism development press conference, the Indonesian island Bali's governor, Wayan Koster, said they would crack down on tourists violating the law by paying for goods and services with crypto.
The conference also saw participation from Bali's chief police inspector and Trisno Nugroho, the head of the region's central bank.
- During his speech, Koster reminded visitors that the only instrument of payment, which can be legally used in Bali, is Indonesia's legal currency, the rupiah.
- Bali Governor added that the violators could face legal sanctions, including deportation, closure of business premises, written reprimands, obligations to pay fines, and prohibitions from payment transactions.
- Indonesian law mandates all payments in the country to be settled in the rupiah.
- Using other forms of currency for payments could result in one year in prison or a fine of up to 200 million rupiah ($13,300).
- The related rule mainly aims to protect the rupiah from the potential mass adoption of the U.S. dollar (USD) in Indonesia.
- On the other hand, crypto transactions are allowed under Indonesian law, though virtual assets cannot be used for payments.