[2018/07/02] Philippines’ Economic Zone Creating Crypto Regulations

[janvic31]

Source: https://news.bitcoin.com/philippines-economic-zone-creating-crypto-regulations-licensing-exchanges/
Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space


The authority of the Filipino government-owned economic zone is drafting regulations for cryptocurrencies and planning to limit the number of licenses it issues to 25. Other rules include the requirement for each crypto exchange to invest at least US$1 million within 2 years. The authority has reportedly received about 60 applications from crypto companies so far.



Drafting Crypto Regulations

Philippines’ Cagayan Economic Zone Authority (CEZA) is “crafting rules to safeguard cryptocurrency investors,” according to the Philippine News Agency, the government’s newswire service.

Philippines' Economic Zone Creating Crypto Regulations, Licensing 25 Exchanges CEZA is the government-owned and controlled corporation tasked to manage the development of the Cagayan Special Economic Zone and Freeport. “CEZA is eyeing to become a hub for financial technology (fintech) investments,” the news service wrote.

According to CEO and Administrator Raul Lambino, CEZA “is in the process of crafting regulations that will protect those investing in cryptocurrency.” He said in a statement this week that the authority “will remain stringent in checking the probity and integrity of companies eyeing to launch their initial coin offering (ICO) in the country. These companies shall be registered with CEZA.”



Preventing Scams

Lambino emphasized that the regulations will not allow Ponzi schemes. He explained that, for any companies with an ICO, “we will have to find [out] if their ICO is asset-backed,” citing “there are many scammers.” He noted that some ICOs “may be able to convince 50 unsuspecting investors and promise them the sun and the moon,” adding:

There are many operating scammers who set up an exchange with very little capital and they are victimizing investors…We do not want the Philippines to be a haven for scammers even if these scams are happening abroad. That’s why through our probity and integrity check we can determine if their transactions are just designed to entice unsuspecting people to invest in bitcoin or whatever crypto coin that is a fraud.



What do you think of CEZA drafting crypto regulations and licensing 25 exchanges? Let us know in the comments section below.

[1714170748]

1714170748

[1714170748]

1714170748

[1714170748]

1714170748

[orions.belt19]

With over 60 applications, I think that the issuance of only 25 licenses would not suffice. Although this is already big step for the Philippines towards the crypto scene. Baby steps first. Perhaps in the near future after seeing the success that crypto exchanges would bring, it may be realized that more licenses should be issued. Philippines has been neutral for long so this regulation they have made would allow investors and many crypto users in the country to have more opportunities. In fact, the fintech industry have been slowly growing. It’s becoming a trend in the PH now, I think.

[carlfebz2]

-snip-

Quite aware on crypto companies do exist on PH but wont really able to reach out 25 overall.For now i do know for about 3-5 Companies and the main exchange or local wallet provider is coins.ph. I had seen how PH is being neutral when it comes to cryptocurrencies but now they do already taking such actions due to increase of transactions and the incoming and outcoming amounts is already big where government cant already take aside on whats happening.For now even that 25 license approval would be just enough.

[deadsilent]

I think 25 is fine i think. Actually that number of exchanges is high. We only 3-4 exchanges existing today in the Philippines as far as i know. One thing i hate is, the media here is giving cryptocurrency a bad image which gives fear to people. That's why Philippines is getting left behind in terms of progress. I agree also about anti scam regulations. They must secure investors from losing their money because of scammers. ICOs are the biggest scam factory right now. So they must focus on that. Asset backed ICOs are fine to me. At least you won't get worry about the ICO since it's an asset backed project.

This step of Philippines will give security to its citizens. I believe one day Philippines will be like Korea in terms of adoption and popularity of cryptocurrencoes.

[yndye]

I think 25 is fine i think. Actually that number of exchanges is high. We only 3-4 exchanges existing today in the Philippines as far as i know. One thing i hate is, the media here is giving cryptocurrency a bad image which gives fear to people. That's why Philippines is getting left behind in terms of progress. I agree also about anti scam regulations. They must secure investors from losing their money because of scammers. ICOs are the biggest scam factory right now. So they must focus on that. Asset backed ICOs are fine to me. At least you won't get worry about the ICO since it's an asset backed project.

This step of Philippines will give security to its citizens. I believe one day Philippines will be like Korea in terms of adoption and popularity of cryptocurrencoes.

I like how Philippines is welcoming cryptocurrency and giving licenses but the bad thing is that the media is giving bad image to it. Every time there is news, the focus is about those scams and they will immediately say something about investing in cryptocurrencies and bitcoin so people would immediately conclude that investing in cryptocurrencies is bad because it is just a scam. I hope that someday people would be able to know deeply cryptocurrencies so that they wouldn't have a conclusion right away hearing those terms. One thing I can visualize to be a solution to this is for cryptocurrencies and blockhain technology to be taught in schools and universities just like what other countries are doing.

[XFlowZion]

I think 25 is fine i think. Actually that number of exchanges is high. We only 3-4 exchanges existing today in the Philippines as far as i know. One thing i hate is, the media here is giving cryptocurrency a bad image which gives fear to people. That's why Philippines is getting left behind in terms of progress. I agree also about anti scam regulations. They must secure investors from losing their money because of scammers. ICOs are the biggest scam factory right now. So they must focus on that. Asset backed ICOs are fine to me. At least you won't get worry about the ICO since it's an asset backed project.

This step of Philippines will give security to its citizens. I believe one day Philippines will be like Korea in terms of adoption and popularity of cryptocurrencoes.

I like how Philippines is welcoming cryptocurrency and giving licenses but the bad thing is that the media is giving bad image to it. Every time there is news, the focus is about those scams and they will immediately say something about investing in cryptocurrencies and bitcoin so people would immediately conclude that investing in cryptocurrencies is bad because it is just a scam. I hope that someday people would be able to know deeply cryptocurrencies so that they wouldn't have a conclusion right away hearing those terms. One thing I can visualize to be a solution to this is for cryptocurrencies and blockhain technology to be taught in schools and universities just like what other countries are doing.

Give it time bro. Filipinos are very easy to understand things if they take the time and it will change their perspective on it right away. I'm expecting a lot of demand in the blockchain industry in 3-5 years so the country is lucky to be ahead of others.

[qwertyup23]

I think 25 is fine i think. Actually that number of exchanges is high. We only 3-4 exchanges existing today in the Philippines as far as i know. One thing i hate is, the media here is giving cryptocurrency a bad image which gives fear to people. That's why Philippines is getting left behind in terms of progress. I agree also about anti scam regulations. They must secure investors from losing their money because of scammers. ICOs are the biggest scam factory right now. So they must focus on that. Asset backed ICOs are fine to me. At least you won't get worry about the ICO since it's an asset backed project.

This step of Philippines will give security to its citizens. I believe one day Philippines will be like Korea in terms of adoption and popularity of cryptocurrencoes.

I like how Philippines is welcoming cryptocurrency and giving licenses but the bad thing is that the media is giving bad image to it. Every time there is news, the focus is about those scams and they will immediately say something about investing in cryptocurrencies and bitcoin so people would immediately conclude that investing in cryptocurrencies is bad because it is just a scam. I hope that someday people would be able to know deeply cryptocurrencies so that they wouldn't have a conclusion right away hearing those terms. One thing I can visualize to be a solution to this is for cryptocurrencies and blockhain technology to be taught in schools and universities just like what other countries are doing.

Give it time bro. Filipinos are very easy to understand things if they take the time and it will change their perspective on it right away. I'm expecting a lot of demand in the blockchain industry in 3-5 years so the country is lucky to be ahead of others.

By taking into consideration that the Philippines (which is a 3rd world country) is starting to implement and create laws catering to their support for cryptocurrencies and for safeguarding, this may be the gateway that would lead other countries as well to start legalizing cryptocurrency in their respective country. Assuming that they successfully implemented such protocols, then this will affect the prices in the market significantly.

Unfortunately like what you mentioned, media is shaping the country as of now. They have the power to manipulate and provide false information to the public that would deter the further improvements and enhancements needed to be made.

[Zadicar]

I think 25 is fine i think. Actually that number of exchanges is high. We only 3-4 exchanges existing today in the Philippines as far as i know. One thing i hate is, the media here is giving cryptocurrency a bad image which gives fear to people. That's why Philippines is getting left behind in terms of progress. I agree also about anti scam regulations. They must secure investors from losing their money because of scammers. ICOs are the biggest scam factory right now. So they must focus on that. Asset backed ICOs are fine to me. At least you won't get worry about the ICO since it's an asset backed project.

This step of Philippines will give security to its citizens. I believe one day Philippines will be like Korea in terms of adoption and popularity of cryptocurrencoes.

I like how Philippines is welcoming cryptocurrency and giving licenses but the bad thing is that the media is giving bad image to it. Every time there is news, the focus is about those scams and they will immediately say something about investing in cryptocurrencies and bitcoin so people would immediately conclude that investing in cryptocurrencies is bad because it is just a scam. I hope that someday people would be able to know deeply cryptocurrencies so that they wouldn't have a conclusion right away hearing those terms. One thing I can visualize to be a solution to this is for cryptocurrencies and blockhain technology to be taught in schools and universities just like what other countries are doing.

Give it time bro. Filipinos are very easy to understand things if they take the time and it will change their perspective on it right away. I'm expecting a lot of demand in the blockchain industry in 3-5 years so the country is lucky to be ahead of others.

By taking into consideration that the Philippines (which is a 3rd world country) is starting to implement and create laws catering to their support for cryptocurrencies and for safeguarding, this may be the gateway that would lead other countries as well to start legalizing cryptocurrency in their respective country. Assuming that they successfully implemented such protocols, then this will affect the prices in the market significantly.

Unfortunately like what you mentioned, media is shaping the country as of now. They have the power to manipulate and provide false information to the public that would deter the further improvements and enhancements needed to be made.

For now medias in Philippines are still on the neutral side which does mean government is considering cryptocurrencies neither a good or bad thing and come to know that they do allow or give out licensese for those business that involve with crypto.
This thing do really signifies positivity and will definitely go for full scale adoption.

[jzale]

Only a small percent of Filipinos are aware of Bitcoin in our country. Coins.ph is doing a good job of advertising Bitcoin as well as other cryptocurrency like ETH and BCH. Most regular users of coins.ph are aware of cryptocurrency already and some users are taking into consideration of how to utilize Bitcoin and what Bitcoin itself is. Though it is sad that when you say Bitcoin here, most of the Filipinos say/think it is a scam because media itself is not knowledgeable about it. I hope there will be a nationwide program that would advertise and encourage Filipinos to understand and use cryptocurrencies.

[audaciousbeing]

With over 60 applications, I think that the issuance of only 25 licenses would not suffice. Although this is already big step for the Philippines towards the crypto scene. Baby steps first. Perhaps in the near future after seeing the success that crypto exchanges would bring, it may be realized that more licenses should be issued. Philippines has been neutral for long so this regulation they have made would allow investors and many crypto users in the country to have more opportunities. In fact, the fintech industry have been slowly growing. It’s becoming a trend in the PH now, I think.

Not everybody that seeks admission into colleges or universities gets admitted at least from the place where I come from. It could be different in other climes though. The same thing applies to businesses especially those one that deal with liquid money which attract public trust and could quick cause damage to the economy. If everyone who applies for banking license gets it, then the streets will be flooding with various banks and you all know what that means for the economy so if we want those businesses to be taken seriously, there should be a certain standard of procedures that would instill confidence in the process.

I think its a good start that they are even having a process compared to other countries that are not giving any room for dialogue all they decide that the best way to about is to just ban at the same time claim they are protecting the citizen  from whatever ills that comes from the use of crypto currency while some other countries just decide to ignore by denying the existence all together.

[acheampong64]

Wow, over 60 applications and they want to limit to 25. So how are they going to cater for the remaining. I think if only they're ready to pay the $1m then they should give them the opportunity to run their business.

[Kemarit]

With over 60 applications, I think that the issuance of only 25 licenses would not suffice. Although this is already big step for the Philippines towards the crypto scene. Baby steps first. Perhaps in the near future after seeing the success that crypto exchanges would bring, it may be realized that more licenses should be issued. Philippines has been neutral for long so this regulation they have made would allow investors and many crypto users in the country to have more opportunities. In fact, the fintech industry have been slowly growing. It’s becoming a trend in the PH now, I think.

But don't you think that coins.ph has been monopolizing trading exchanges(which some minor players) in the last couple of years that 25 licenses would not be enough? I think for now it will suffice not unless the Philippines really took off and people all over getting crazy about it. But I agree that Philippines is really taking a slow steps towards crypto adoption which might result in the economy having positive gains because Filipinos will have more purchasing power because of crypto profits.

[enhu]

Such a news. I'm from Philippines  and I don't know much which crypto companies are in here besides those already known here in the forum like Coins.ph and rebit.ph. If there are more and are planing to have an ICO, I've like to know them. if for instance I learned that a big company that is already known here is moving into blockchain, I'd probably invest to it.

[Harlot]

So if 25 exchanges is the limit they are looking at a maximum of 25 million dollars in capital going to the territory of the Philippines. Keep in mine this is the maximum number and I don't expect that the number would be reach as even 10 exchanges will already flood the market with competition from each other. With a big investment requirement I only think that the big players or at least the ones who have existed for a long time can enter in their Economic Zone nonetheless it does not stop citizens from that place to trade on other crypto exchanges which I think a lot of them will be doing by now.

[jzale]

So if 25 exchanges is the limit they are looking at a maximum of 25 million dollars in capital going to the territory of the Philippines. Keep in mine this is the maximum number and I don't expect that the number would be reach as even 10 exchanges will already flood the market with competition from each other. With a big investment requirement I only think that the big players or at least the ones who have existed for a long time can enter in their Economic Zone nonetheless it does not stop citizens from that place to trade on other crypto exchanges which I think a lot of them will be doing by now.

I think we're missing more crucial information and details about this. Does that mean that Filipinos are only allowed to engage in cryptocurrency trading within the CEZA and those 25 exchanges that will be licensed? How will they do that? Are crypto traders in the Philippines be subjected to regulations too? Doesn't that mean that they are gonna control us? This is a serious matter that we are going to face in a matter of time.