The stock exchange is preparing to launch trade in digital assets
The Philippine Stock Exchange is preparing to launch a new direction. Trading operations with cryptocurrencies will now be available on the platform. So far, the procedure is at the stage of obtaining permission from the regulator to work with digital assets. As soon as all the necessary permits are obtained, the exchange will open the new function to its members.
Representatives of the exchange note that the launch of cryptocurrency trading is quite a logical step. The platform has all the necessary infrastructure elements to introduce such a service. In addition, an important point is to ensure investor protection when working with cryptocurrencies, and these obligations are fully assumed by the Philippine exchange.
Understanding the prospects of digital assets, the Philippines decided to prepare a legislative framework for them in order to regulate all processes. Not so long ago, the Central Bank introduced a procedure for licensing companies, which will be carried out on a mandatory basis. Businesses that provide services for transactions with cryptocurrencies fall under this requirement. Now, in order to work in the country with digital money, it is necessary to obtain a special license. First of all, the rule applies to exchanges, cryptocurrency derivatives platforms and custodial services that operate only with this type of assets.The procedure for obtaining permission from the Central Bank includes several steps. An important point is to adhere to the requirements for the prevention of money laundering. In addition, the company must prove that its activities and trading operations are not related to and do not support financial terrorism. The regulator has also imposed restrictions on transactions, the volume of which exceeds the established limit. In such a case, the participants of such transactions should be identified.
As noted in the Central Bank, this way the government wants to regulate the processes associated with cryptocurrencies. In this case, the regulation should feel as comfortable as possible for all participants to stimulate the development of the industry. It should be noted that in the Philippines, since 2017, platforms that work with fiat currencies receive licenses to operate. The government hopes that the new requirements will make the industry more transparent and eliminate mechanisms for illegal transactions. It is also a great opportunity to keep up with the times and ensure that all necessary conditions are in place to unlock the potential of digital assets. The Central Bank is also considering the possibility of developing its own cryptocurrency, which will expand the range of financial services provided. So far, this issue is at the research stage, where all the nuances of the use of their own digital money will be studied. Experts of the regulator say that such an innovation will reduce the use of paper money and accelerate progress in the financial sector.