Binance Participates in Senate Hearing
Binance’s Head of APAC Leon Foong and General Manager for the Philippines Kenneth Stern participated in the session of the Senate’s Committee on Banks, Financial Institutions and Currencies.
After introducing Binance to the Senators, Stern said he strongly believes that the crypto industry can greatly benefit the Filipino people because it addresses “the necessity of financial inclusion.”
“78 percent of Filipinos remain unbanked but crypto can decrease that number as the number of crypto asset holders will surpass the number of credit card holders in the Philippines,” Stern said.
In a prior media release, the Bangko Sentral ng Pilipinas noted that virtual currency transactions increased by 71 percent in the first half of 2021 alone. ₱105.93 billion, which was up from ₱62.12 billion for the same period in 2022.
The Philippines also ranked high in a number of research regarding crypto usage.
Stern also shared Binance’s experience with global regulators.
“From our experience working with regulators in other countries, it is important to focus on a few key elements – AML, KYC, consumer protection, creating checks and processes, and working with global experts in creating education to the public to involve them in risks of crypto assets.”
Stern also said Binance has a clear terms of use and risk warnings, and also does extensive due diligence before listing digital assets. To illustrate, Stern said of the 450 project applications that Binance received for listing, only five of these projects were listed.
“We are not a law enforcement agency but we look forward to increased partnerships with key agencies that can formally handle these matters.”
Kenneth Stern, Binance General Manager, Philippines
He said Binance has conducted workshops with law enforcement agencies in Germany, Paraguay, and other countries to help facilitate investigations of cyber crimes.
He mentioned that Binance has already opened up conversations with local Philippine universities to offer courses and professional certificates in blockchain, crypto. and web3.
Finally, Stern stressed the need for a central regulator that will allow more visibility in capturing the nature and flow of fiat to e-money then to cryptocurrency.
“We support the BSP and the SEC as they aim to add clarity and transparency of digital assets, having a streamlined approach to financial services expanding into transactions involving cryptocurrencies.”
KENNETH STERN, BINANCE GENERAL MANAGER, PHILIPPINES
Leon Foong, Binance’s Head APAC echoed Stern’s statements, emphasizing the following activities:
“I think the key focus should be on surveillance, AML, and CFT measures, and custody,” he said, noting by custody, he meant fintech companies as well as traditional financial institutions like banks.
As per the latest BSP release, Binance is not a licensed cryptocurrency exchange in the Philippines. Licensed local VASPs include Coins.ph, PDAX, Maya, Bloom, Moneybees, among others.
Check out the timeline of events here:
- (June 8) CZ visited the Philippines and talked to PH Media re: Binance expansion.
- (June 8) CZ said they intend to obtain a local crypto license.
- (June 9) Then Finance Secretary Dominguez said Binance is not yet registered and they are monitoring it.
- (June 10) Binance Scholarship for Filipinos.
- (June 15) Infrawatch PH sent a letter to the BSP asking it to ban and suspend the exchange for illegally operating here.
- (June 16) Binance responds: “We are open to discussions”.
- (June 16) Binance is hiring 2,000 more people.
- (July 7) Infrawatch Letter to DTI.
- (July 7) Binance Answers New Infrawatch Letter.
- (July 11) DTI Responds.
- (July 26) Infrawatch sends letter to SEC.
- (August 4) SEC responds, cautioning the public not to invest with Binance.
- (August 9) Binance says acquiring license is a priority
This article is published on BitPinas: Binance Participates in Senate Hearing
Disclaimer: BitPinas articles and its external content are not financial advice. The team serves to deliver independent, unbiased news to provide information for Philippine-crypto and beyond.
