New OJK Framework Tightens Primary Party Compliance: Violations of Sharia Principles May Now Lead to Reassessments

In order to create a sound ecosystem for technological innovation within the financial technology innovation (Inovasi Teknologi Sektor Keuangan– “ ITSK ”), digital finance and crypto assets (ITSK, Aset Keuangan Digital dan Aset Kripto– “ IAKD ”) sector, as well as to ensure that optimal services are provided to the general public, the Financial Services Authority (Otoritas Jasa Keuangan– “ OJK ”) has issued Regulation No. 16 of 2025 on Fit-and-Proper Assessments (“ Assessments ”) and Reassessments of Primary Parties Operating Within the IAKD Sector (“ Regulation 16/2025 ”), which is set to come into force on 1 October 2025. [1]