Foreign tourists utilising cryptocurrency as a form of payment at hotels, restaurants, tourist attractions, shopping malls, and other locations might face stiff penalties from Bali’s provincial government.
At a press conference for the growth of the tourism industry on Sunday, the 28th of May 2023, Bali Governor Wayan Koster stated that “foreign tourists who misbehave, do activities that are not allowed in their visa permit, using cryptocurrency as a means of payment, and violate other provisions will be dealt with firmly.”
Putu Jayan Danu Putra, the chief inspector general of the Bali Police, and other participants were present during the meeting.
“Strict actions range from deportation, administrative sanctions, criminal penalties, closure of business premises, and other tough sanctions,” Koster stated.
Koster reaffirmed the ban on using any other currency than the rupiah to make payments in Indonesia.
If someone uses a currency other than the rupiah, which includes cryptocurrency, they might be sentenced to up to a year in prison and pay a fine of up to IDR 200 million (about USD 13,300).
According to Koster, anyone who conducts foreign exchange commercial activities, including cryptocurrency, without Bank Indonesia’s consent faces a minimum one-year sentence, a maximum five-year prison term, a minimum punishment of IDR 50 million, and a maximum fine of IDR 22 billion.
Administrative consequences for using other currency except for the rupiah, including cryptocurrency, such as written reprimands, monetary duties, and bans on making payments, will be applied to violations.
According to Trisno Nugroho, the head of Bank Indonesia’s Bali Representative Office, cryptocurrency is permitted in Indonesia as an asset but not a payment method.
Bank Indonesia also affirms that this policy applies to Bali and the nation. While once again reminding all foreigners not to use cryptocurrency as a functional currency in Indonesia.
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