The rapid development of artificial intelligence (AI) has expanded the use of automated decision-making systems across various sectors, creating a growing need to protect users' rights through accountable governance. Algorithmic transparency has become an increasingly important issue because AI systems may generate bias, discrimination, and difficulties for users in understanding the basis of decisions that affect their rights and interests. This study aims to analyze algorithmic transparency as an instrument for protecting users' rights and its implications for strengthening Indonesia's legal framework. The study employs a normative legal research method using statutory, conceptual, and comparative approaches through a literature review of relevant regulations, official documents, and scholarly publications. The findings indicate that algorithmic transparency plays a strategic role in strengthening accountability, enhancing explainability, supporting algorithmic audits, and reducing the risk of discrimination in the use of artificial intelligence systems. The analysis also demonstrates that international regulatory developments, particularly the European Union Artificial Intelligence Act, provide a risk-based regulatory model that may serve as a reference for developing AI governance in Indonesia while considering the characteristics of the national legal system. The study concludes that strengthening algorithmic transparency should become a fundamental principle of artificial intelligence regulation to ensure the protection of users' rights, enhance legal certainty, and support the responsible use of AI.