New Virtual Currency Policies Coming to the Philippines
Philippine Central Bank Deputy Governor Nestor A. Espenilla
Bitcoin.com reported last June that the Philippines central bank, Bangko Sentral ng Pilipinas (BSP), was preparing new guidelines towards Bitcoin companies in the region. Now the BSP deputy governor, Nestor Espenilla, has published a circular (BSP Circular ???944) that defines the government’s position concerning Bitcoin operations. In the record, the BSP says that it intends to regulate currencies that are relevant to all payment systems and remittance platforms. Essentially, it applies to any operation that may have”material effect on anti-money laundering (AML) and combating the financing of terrorism (CFT), consumer protection and financial stability,” explains the BSP.
The central bank will start implementing the regulations and rules which govern operations of virtual currency exchanges in two weeks and bitcoin casino binary options. The BSP circular notes that the new guidelines are not endorsements of bitcoin and other currenciescloudbet site However, the Bank does recognize that digital currency solutions have great potential. The governor states:
Bangko Sentral recognizes that Virtual Currency (VC) systems have the potential to revolutionize delivery of financial services, particularly for payments and remittance, in view of the capacity to provide faster and more economical transfer of funds, both domestic and international, and may further support financial inclusion.
Bitcoin Remittance Expert Weighs In
Bitcoin remittance expert Luis Buenaventura
After the recent BSP statement, Bitcoin remittance specialist Luis Buenaventura revealed his opinion of policies and the bank’s definitions. Buenaventura has done extensive research on Bitcoin’s connection with international remittances by studying strategies and startups in the crypto-remittance space like Bitspark and Abra. In his view, the most recent guidelines in the Philippines define all digital money exchanges to be treated as remittance businesses.
“It certainly appears like the purpose is to treat any business dealing with Bitcoin for a remittance agent, even if remittances are not the principal purpose of the company,” explains Buenaventura.
The new guidelines don’t offer any concessions for order-book exchanges which have no worldwide footprint, nor do they explain the situation for sole proprietors buying and selling BTC on Localbitcoins. I’m unsure what kind of impact this will have on the Bitcoin startups operating within our borders, but I hope that it will not put the brakes.
The Central Bank is Learning About Bitcoin, But Definitions Are Too Wide
The Bitcoin business within the Philippines will have to wait and see how these policies take effect in the countryGet up to 1 Bitcoin Free on Bitcoin Lottery bonus code Buenaventura states exchanges and remittance startups have made a lot of progress since 2013, but still have a ways to go. Furthermore, he is encouraged that the BSP spent plenty of time learning about Bitcoin, however, the central bank has”vastly overestimated just how much of it is actually used for remittances.”
“From one angle, it is good news that the government is finally recognizing that we exist and acknowledge that our efforts do have a positive social effect on our nation,” Buenaventura adds.
What do you consider the Philippine central bank regulating Bitcoin? Tell us in the comments below!
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Source: bitcoincasinoreview.net
