New Virtual Currency Policies Coming to the Philippines

Philippine Central Bank Deputy Governor Nestor A. Espenilla reported last June that the Philippines central bank, Bangko Sentral ng Pilipinas (BSP), was preparing new guidelines towards Bitcoin businesses in the area. Now the BSP deputy governor, Nestor Espenilla, has published a round (BSP Circular ???944) that defines the government’s position concerning Bitcoin operations. In the record, the BSP says that it intends to regulate virtual monies that are relevant to all payment systems and remittance platforms. Essentially, it applies to any operation that may have”material impact 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 a couple of weeks and bitcoin casino binary choices . The BSP circular notes that the new guidelines aren’t endorsements of other and bitcoin digital currenciesbitcoin casino net review bitcoin casino bonus club The Bank does recognize that money options have potential. The deputy governor’s circular 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 their ability to provide quicker and more economical transfer of capital, both domestic and global, and might further encourage financial inclusion.

Bitcoin Remittance Expert Weighs In

Bitcoin remittance expert Luis Buenaventura

Following the recent BSP circular statement, Bitcoin remittance specialist Luis Buenaventura revealed his opinion of policies and the bank’s definitions. By studying strategies and startups in the crypto-remittance space like Abra and Bitspark, buenaventura has done extensive research on the relationship of Bitcoin with international remittances. In his view, the most recent guidelines in the Philippines define all digital currency exchanges to be treated as businesses.

“It certainly appears like the purpose is to treat any business dealing with Bitcoin for a remittance agent, even though remittances aren’t the primary purpose of the company,” explains Buenaventura.

The new guidelines don’t offer any concessions for order-book exchanges that have no international footprint, nor do they clarify the situation for sole proprietors buying and selling BTC on Localbitcoins. I hope that it will not put the brakes on the innovative momentum that has been building up over the last few years, although I’m unsure what sort of impact this will have on the Bitcoin startups operating within our borders.

The Central Bank is Learning About Bitcoin, But Definitions Are Too Wide

The industry within the Philippines will have to wait and see how these policies take effect in the countryonline casino accepting bitcoin bitcoin casino best slots Buenaventura says exchanges and remittance startups have made plenty of progress but still have a long way to go. Furthermore, he’s encouraged that the BSP spent plenty of time learning about Bitcoin, but the central bank has”vastly overestimated how much of it is actually used for remittances.”

“From one angle, it is very good news that the government is finally recognizing that we exist and admit that our efforts do have a positive social impact on our country,” Buenaventura adds.

What do you consider the Philippine central bank regulating Bitcoin? Let us know in the comments below!

Images via Shutterstock, BSP, Medium, and Pixabay. 

Do you want to discuss bitcoin in a comfy (and censorship-free) environment? Have a look at the Forums — all of the big players in Bitcoin have posted there, and we welcome all opinions.