New Crypto Exchange Regulations in the Philippines to Finally Be Published Next Week
The Securities and Exchange Commission (SEC) in the Philippines have been working to find the right regulation to govern the cryptocurrency in the country. Their currency concern is that of trading platforms, because on the information offered by SEC Commissioner Ephyro Luis Amatong.
The SEC is presently looking at the efforts made by Australia and Switzerland, adopting their apparatus as a guide for their own framework. The first draft of this work is expected to be available to the public by the end of next week.
Based on statements given to the media, Commissioner Amatong said, “We see the need to regulate them as trading platforms.” The commissioner also said that the new decision to regulate comes with a partnership with the central bank, the Bangko Sentral ng Philippines (BSP) to assist them with the changes. The commissioner added,
“We already discussed the matter with the BSP since the BSP is also interested and we are also interested. The discussion [involved] joint cooperative oversight over VCEs engaged in trading.”
This permissive legislation will make the industry a little more “safe” in small and medium enterprises. These efforts will enable exchanges to use crowdfunding to raise capital for their efforts. The commissioner noted,
“Part of the promise is technology will allow smaller companies to raise funds in a safe manner. Previously, you had to go through all of the infrastructures of the [Philippine Stock Exchange] or [Philippine Dealing Exchange] […] in order to raise the funds but what financial technology promises is you can achieve that through technology at a lower cost so even if you are a small company.”
The adjustments ensure that companies can seek out investors, but “without going through the whole process of a security.”