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]