Jakarta Futures Exchange (JFX) along with Kinesis Money and Allocated Bullion Exchange (ABX) are to launch the project of developing an Indonesian blockchain exchange.
JFX, which is engaged in the trading of futures and derivatives, submitted the Memorandum of understanding with Kinesis Money and ABX, which involves the development of a blockchain exchange using Kinesis technologies.
In a joint statement, the companies claimed Kinesis and ABX developed an evolutionary monetary system that uses real assets (gold and silver) as the basis for digital currencies. These currencies will be exchanged on the Kinesis blockchain exchange, which uses the network Star Network processing speed of more than 3000 transactions per second.
The system is also integrated with mobile banking and fiat currency exchange services. ABX, the world's leading electronic institutional exchange for physical precious metals, has a long history of working with JFX to expand gold investment opportunities in Indonesia.
Meanwhile, JFX, the exchange of futures contracts for gold, is now launching a physical Sharia Gold contract in partnership with ABX. The company has already received approval from the Indonesian National Sharia Council and local regulatory authorities.
"The exchange version of blockchain currencies based on gold, thanks to the cooperation with Kinesis and ABX, is a natural continuation of the vision of JFX and the Indonesian government.
"Extended partnership between JFX, Kinesis, and ABX provides for an Indonesian blockchain exchange based on the technical achievements of the Kinesis blockchain exchange,” the joint statement of the partners says.
This partnership is part of JFX's plan to create blockchain solutions in addition to the existing financial infrastructure. This will allow investors to get alternative options for investments and additional benefits from simplifying and increasing the speed and security of transactions.
Benefit to people
In his words, JFX president director Stephanus Paulus Lumintang said the advantages of distributed blockchain technology will bring great benefit to Indonesia and Indonesian people.
"Regulation of blockchain in Indonesia is currently ongoing, and it is quite an important but difficult task. However, JFX is ready to become a blockchain exchange company in Indonesia, in accordance with any legal and regulatory requirements."
"Our future partnership with Kinesis and ABX will allow us not only to take advantage of these benefits but also to create a secure and transparent blockchain network that will be a reliable alternative to existing exchange systems," he said.
CEO of Kinesis and ABX Thomas Coughlin from his side noted that the blockchain network creates a complete monetary system that allows you to conduct transactions with real physical assets and exchange it digitally, quickly, and at a low price.
“We believe that the integration of physical precious metals and distributed ledger technology is of great value to the Indonesian market with its dual interest in gold and blockchain. We look forward to continuing our partnership with JFX to bring this to an end," he added.