The Cagayan Economic Zone will soon house fintech and blockchain firms around the world in a “Crypto Valley of Asia (CVA)” within the economic zone, said a briefer sent to BitPinas by CEZA media relations staff.
Private firm Northern Star Gaming & Resorts Inc. will develop the project, which aims to foster a thriving ecosystem of networked fintech firms in Northern Luzon.
In a media release, CEZA states that the undertaking will help generate employment for Business Process Outsourcing (BPO) that will service global fintech and cryptocurrency sectors, with hopes that it will catalyze an economic boom in the region.
Phase 1 of the project will include the following:
- 25-shop housing development
- licensed offshore virtual asset exchanges (OVEs)
- co-working and living spaces
- business incubation and acceleration hubs
- back offices of virtual exchanges and service providers.
All undertakings, CEZA said, will be in compliance with strict security requirements.
The project is estimated to cost $100 million and will start on the 4th quarter of 2018.
Northern Star has secured the rights to locate within the economic zone and has committed investments to the region over the next 10 years.
Philippine President Rodrigo Duterte was a guest of honor during the unveiling ceremony, stressing the importance of attracting investors in the country. Welcoming investors can show the world that the Philippines “is a viable place for business and investments,” said President Duterte in a speech.
CEZA administrator and secretary Raul Lambino mentioned in a statement that the project will serve to attract more players to the economic zone.
CEZA has posted high earnings for the 2nd quarter of 2018 because of interest of financial firms to set up shop in Cagayan. The project will bolster and create more than 20,000 jobs for positions in IT, technology, and management.
CEZA awards the Financial Technology Solutions and Offshore Virtual Currency (FTSOVC) license to offshore cryptocurrency firms that want to set up in Cagayan. The licenses are provisional and will allow these firms to do cryptocurrency exchanges in the country while only serving non-Philippine residents.
Recently, CEZA has collaborated with the NEM foundation to build a blockchain hub in Cagayan. This hub will house an education center, a shared working space, and a place for companies to hold blockchain events.