Proceedings of the 1st International Conference on Finance Economics and Business, ICOFEB 2018, 12-13 November 2018, Lhokseumawe, Aceh, Indonesia

Research Article

The Challenge in Application of Cryptocurrency as Commodity in Indonesia

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  • @INPROCEEDINGS{10.4108/eai.12-11-2018.2288857,
    author={Rico Nur Ilham and Khaira Amalia Fachrudin and Eben Ezer Pakpahan},
    title={The Challenge in Application of Cryptocurrency as Commodity in Indonesia},
    proceedings={Proceedings of the 1st International Conference on Finance Economics and Business, ICOFEB 2018, 12-13 November 2018, Lhokseumawe, Aceh, Indonesia},
    publisher={EAI},
    proceedings_a={ICOFEB},
    year={2019},
    month={10},
    keywords={cryptocurrency implementation obstacle of virtual commodity transaction regulation},
    doi={10.4108/eai.12-11-2018.2288857}
}
  • Rico Nur Ilham
    Khaira Amalia Fachrudin
    Eben Ezer Pakpahan
    Year: 2019
    The Challenge in Application of Cryptocurrency as Commodity in Indonesia
    ICOFEB
    EAI
    DOI: 10.4108/eai.12-11-2018.2288857
Rico Nur Ilham1,*, Khaira Amalia Fachrudin2, Eben Ezer Pakpahan3
  • 1: Doctoral Program, Faculty Economic and Bussiness,University of Sumatera Utara, Indonesia
  • 2: Faculty Of Economic and Bussiness, Universitas Sumatera Utara, Indonesia
  • 3: Doctoral Program, Faculty Economic and Bussiness,Universitas Sumatera Utara, Indonesia
*Contact email: Riconurilham8@gmail.com

Abstract

Cryptocurrency is a variety of digital currencies and is an asset used as a medium of exchange. This currency uses cryptography and how to make it safe. The system used will create and analyze algorithms and protocols.Based on the international standard of The Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) digital money is accepted in some circles so it is not a currency. Then the sharf provision (payment) does not apply there because it is not a currency. The purpose of this research is to see the potential of Cryptocurrency whether it can be applied into Digital Asset form only, or even in the future will be an Effect or Comudity. This study uses the Literature study method based on several scientific journals and the theoretical basis related to cryptocurrency and the potential of virtual transactions. The results of this study indicate that the cryptocurrency can be categorized as a virtual product commodity in Indonesia that already has Legal Basis and Legislative regulation. It is hoped that research in this regard will have a positive impact on the development of cryptocurrency in Indonesia, so that later regulation can be made about the cryptocurrency transaction model in Indonesia that has legal force and clear regulation to be applied in the cryptocurrency management

Keywords
cryptocurrency implementation obstacle of virtual commodity transaction regulation
Published
2019-10-25
Publisher
EAI
http://dx.doi.org/10.4108/eai.12-11-2018.2288857
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