Established in 2014, Indodax is one of Indonesia’s leading cryptocurrency exchanges, with more than 8.9 million registered members and a growing library of more than 400 tradable crypto assets. As the first local crypto marketplace to earn ISO 9001, 27001, and 27017 certifications, Indodax has built its reputation on operational excellence and data security. What began as a small community of crypto enthusiasts has evolved into a national platform committed to more than just trading—it is focused on empowering Indonesians with knowledge, access, and protection in the fast-evolving world of digital finance.
This mission is reflected in everything Indodax builds: a mobile-first experience for everyday users, Indodax Academy for crypto literacy, and a robust security framework to ensure that trust remains the foundation of every transaction. And as the digital economy accelerates across Indonesia—now expected to contribute 14% of GDP by 2027—the stakes are getting higher. For Indodax, building a scalable, trustworthy platform has become more than a goal—it’s a responsibility.
The new reality of crypto fraud
As more Indonesians entered the crypto space, Indodax began noticing a shift in user expectations. Today’s users are not only more informed and cautious, but also increasingly security-conscious—demanding platforms that can safeguard their assets and personal data. However, this rise in awareness has been met with an equally sharp rise in threats.
Crypto-related fraud has evolved into a sophisticated, industrial-scale operation—featuring everything from AI-generated deepfakes to organized impersonation scams. Inexperienced users are especially vulnerable, often falling prey to identity theft or unknowingly becoming participants in money laundering schemes.
For exchanges relying on outdated eKYC processes, these developments introduce significant risks—ranging from operational strain to regulatory exposure and user attrition. Indodax experienced many of these growing pains firsthand:
- Manual Bottlenecks & Inconsistency: Reliance on human checks led to slow response times, inconsistent decisions, and increased risk of error.
- High Operational Overhead: Market surges required rapid scaling of the verification team, driving up manpower costs and straining internal resources.
- Fragmented & Inefficient Workflows: Verification tasks were spread across unintegrated systems, making it difficult to track cases end-to-end and increasing the likelihood of human error.
- Limited Scalability & Availability: Manual processes couldn’t support 24/7 verification, frustrating users with long onboarding times and poor first impressions.
Tangible impact on users and operations
To overcome the inefficiencies of its previous system, Indodax partnered with ADVANCE.AI to implement a unified verification stack that combines biometric liveness detection, document authentication, and AML watchlist screening into a single streamlined workflow. Previously, the team had to switch between multiple platforms to validate user submissions, compare data, and flag inconsistencies—often relying on manual SOPs. With ADVANCE.AI’s integrated solution, these tasks are now automated, reducing friction, minimizing human error, and significantly improving operational efficiency.
The impact has been both immediate and significant. Indodax has fortified its defenses against sophisticated threats such as:
- Deepfake-enabled spoofing and identity theft.
- Synthetic identity fraud used in laundering and pump-and-dump schemes.
- Mass account farming by bot networks.
“New users onboard faster, with fewer delays or requests for support, helping to create a stronger first impression and higher conversion at the registration stage.” shared Sutanto.
Since the rollout of the new system, Indodax has seen a clear reduction in onboarding-related support tickets and manual KYC escalations. This has improved internal team efficiency and reduced the need to scale operations during peak periods.
Future-proofing trust in Indonesia’s crypto ecosystem
Looking to level up your digital onboarding?
Explore how ADVANCE.AI’s identity verification suite can help your business onboard faster, detect fraud smarter, and protect your users—without the trade-offs. Contact us today or book a complimentary consultation session.
