Indonesia is tightening the rules for social media influencers who promote cryptocurrencies and other digital financial assets.
Under a new regulation issued by Indonesia’s Financial Services Authority, influencers must now get certified before recommending crypto or other digital investment products. The only exception is for people who already have a license that allows them to provide this type of financial guidance.
The new rules also limit what influencers can promote. They can only talk about digital assets that are officially listed on approved exchanges. In addition, any crypto company or digital asset platform mentioned in promotional content must have the proper regulatory license.
Indonesia is also putting more responsibility on regulated financial businesses. Promotional campaigns must now be handled through licensed financial companies, which will be accountable for the content being shared. These promotions must be distributed through the companies’ official channels rather than through independent influencer campaigns.
The move reflects a growing global trend as regulators become more concerned about the impact social media influencers have on investment decisions.
Several countries have already introduced similar measures.
In Australia, regulators clarified that influencers may need a financial services license if their content crosses into financial advice or helps people arrange investments. Licensed firms can also be held responsible for the actions of influencers they hire.
The United Kingdom has taken a tough stance as well. Regulators warned that influencers who promote regulated financial products without proper authorization could face criminal penalties. Earlier this year, the UK also led a major international effort against illegal financial promotions, resulting in the removal of more than 1,200 unlawful advertisements that had reached millions of social media users.
South Korea is moving in the same direction. Lawmakers have proposed new rules that would require influencers promoting cryptocurrencies or stocks to disclose their personal holdings and any payments they receive for endorsements. Those who fail to comply could face penalties similar to those used in cases of market manipulation and unfair trading.
As cryptocurrencies continue to attract retail investors, governments around the world are increasing oversight of financial influencers, aiming to improve transparency and better protect consumers from misleading investment promotions.
