Rupiah Token Presents as a “Stablecoin” Representing the Value of Rupiah

Rupiah Token (IDRT) is a token-based blockchain Ethereum which has a price reflecting the value of Rupiah. Included in stablecoin, namely crypto assets that have a stable value – in this case it is pegged at 1 to 1 with the Rupiah being deposited. The price of 1 IDRT will always be equal to IDR1,- both in buying and selling.

For every IDRT issued and circulated, PT Rupiah Token Indonesia (RupiahToken) as the manager is required to add a Rupiah deposit in the custodian bank account. According to the audit report published as of May 1, 2020, the total Rupiah Tokens in circulation have reached 72,7 billion with guarantees in Rupiah of the same value.

"Although there are many stablecoins circulating in the crypto world, there isn't one yet stablecoin Rupiah in blockchain [...] We aim to provide Indonesia with a safe and easy way to use Rupiah in blockchain, such as for crypto trading on global exchanges," explained CPO RupiahToken Anthony Thio.

Practice stablecoin in fact it has been applied by many developers. For example in Singapore, there is a Digix coin (DGC) which is backed with gold reserves, so 1 DGX is always equal to 1 gram of gold.

Currently IDRT is distributed to dozens of platforms exchange and crypto-wallet; including on the Binance portal, UPbit, PundiX, Zipmex, to TrustWallet.

Commenting on IDRT, Zipmex Co-founder & CEO Marcus Lim said, "We are starting to see changes in the economy in Asia in terms of digital currency acceptance and stablecoin. As China prepares to launch their central bank digital currency (e-RMB), we will see the trend spread across Southeast Asia [...] Putting coins into Rupiah and bringing to all markets we have open foreign exchange services new to society."

Still quite confident with cryptocurrency

Jeth Soetoyo is the Founder & CEO of RupiahToken, he is also a founder application mobile devices named Pintu designed for users in Indonesia to make transactions cryptocurrency.

In his discussion with the team DailySocial, Jeth shares his opinion on the current trend of crypto assets. For him timing become important in market penetration. Because as is known, Bitcoin had become a coveted product for many people, when all speculated that they expected a significant increase in value.

He said, crypto assets have basically proven to work well as alternative assets. He has seen Bitcoin's resilience in recent times as a store of value asset. For example, when several countries in South America whose currencies have experienced massive inflation in recent years, Bitcoin adoption there is very high.

"I cannot predict the future of our own currency, but when governments issue debt at interest rates close to 0 presents a strong potential scenario for high inflation. Usually during these times (eg in the 1930s and 1970s) there a tendency to shift interest towards 'hard currencies' such as gold,” said Jeth.

Jeth continued, “This year alone, Bitcoin is the best performing asset compared to other asset classes (including gold, equities, bonds, etc). I believe that the macro conditions now warrant for reasons to see Bitcoin again. I believe this was not the case in 2017 and there was no real reason for people to look at Bitcoin with a more critical eye until now.”

Can it excite interest in crypto assets?

To DailySocial, Supervisory Board of the Indonesian Blockchain Association Steven Suhadi gave his views. Personally he is not sure stablecoin such as IDRT can increase people's passion in crypto investment. However it might be useful to get people familiar with how cryptocurrencies work, how they are easily transferred etc.

"Stable coins can provide the public, businesses, and even governments with a glimpse into -based digital currencies blockchain (also known as central bank digital currency - CBDC)," he said.

He also emphasized that every stablecoin entering the Indonesian market must comply with relevant government regulations, especially those from BI and OJK.