Philippines Central Bank Encourages FinTech Companies to Engage with Banks
The BSP is encouraging fintech companies to engage with banks to help in delivering banking services and financial inclusion for many.
The BSP is encouraging fintech companies to engage with banks to help in delivering banking services and financial inclusion for many.
The Philippines’ Securities and Exchange Commission is in the process of creating draft rules for virtual currency exchanges that act as trading platforms.
BSP believes that by embracing the blockchain technology together with other fintech firms will help it drive its target of 20% growth for e-payments.
Through the regulatory sandbox approach, the BSP observes fintech and blockchain companies and then drafts necessary regulations.
A renowned blockchain expert in Switzerland shared that different central banks have different speed in assessing the need to issue an e-currency.
The BSP governor said that blockchain or distributed ledger technology (DLT) will have a huge impact on correspondent banking.
In addition, the association also added that it will explore ways to continue its cooperation with the Philippines.
The Central Bank of the Philippines and some universal banks are exploring distributed ledger technologies like blockchain to speed up banking transactions.
2 companies recently received an approval from the Bangko Sentral ng Pilipinas to operate as virtual currency exchanges in the Philippines.
Data gathered from official exchanges in the country suggested a slight increase in crypto transactions in PH for the first quarter of 2018.