According to the reports from the Bangko Sentral ng Pilipinas (BSP), the digital currency of the Philippines is in a healthy condition as the conversions for the cryptocurrency is close to $40 million per month.
As stated by the Deputy Governor of BSP Chuchi G. Fonacier, the conversion from the digital to local currencies placed an average of $36.74 million for each month in just the first quarter of 2018 followng the information from two of the largest cryptocurrency exchange operators in the country at the time.
Based on the data given by the virtual currency (VC) with following exchanges from the Rebittance, Inc. and Betur, Inc. as they are the first two cryptocurrency exchanges which are accredited by BSP and more commonly known as Coins.ph. Later on, Bloom Solutions have been registered by the central bank as a legal digital currency exchange.
In comparison, the amount dripped from $38.27 million as a monthly average in the last quarter of last year as when the prices for Bitcoin neared by $20,000. Even so, the amount represented a high rise in the average monthly amount of the cryptocurrency transactions of around $8.8 million from January to June of last year.
There are rules implemented by BSP to regulate the conversion of the fiat currency to cryptocurrencies such as Ethereum and Bitcoin from February of last year through requirements being imposed for the management and elimination of risk against the laundering of money.
The monetary policy maker of the country recognized the pros of cryptocurrencies which dealt with the speed and convenience of the platform provided as well as a cheaper way of transfering money. Yet the nascent technology has exposed other forms of risks which included the threats on hacking, money laundering anad even other cybercrimes.
Fonacier said last December that BSP is talking with the market regulator for the country, the Securities and Exchange Commission in drafting a joint regulation on such digital currencies which are used in investments like Bitcoin.
The BSP deputy director, Melanchor Plabasan also expressed his confidence in the way that the market regulator of the country can manage risks being presented by digital currencies.
“[Bitcoin is] like any other monetized instrument [and even] an investment instrument. There are risks, but essentially it can be managed. If you want something that is fast, near real-time and convenient, then there’s the benefit of using virtual currencies like Bitcoin,” said Plabasan.
The Anti-Money Laundering council also showed several a series of rules in managing the flow money by the use of cryptocurrencies due to its keen monitor of the transactions which tasked the crypto exchanges in reporting any deals with are seen to be suspicious.