Topic: Philippines Legalizes Cryptocurrency Exchanges in Economic Zone - page 3. (Read 756 times)

The Philippine government is welcoming nearly a dozen cryptocurrency companies to operate in a special tax-friendly economic zone situated in close proximity to a number of neighboring countries.

According to a Reuters report, the Philippines will legalize the entry of 10 blockchain and cryptocurrency companies to operate in the Cagayan Economic Zone Authority (CEZA), a government-controlled economic zone that is within an hour’s flight away from the likes of Hong Kong, China, and Taiwan.

The government aims to woo cryptocurrency companies to operate out of the economic zone with tax benefits to help generate employment opportunities locally, Cagayan Economic Zone Authority chief Raul Lambino told Reuters.

Notably, the official confirmed that the government will also license – in effect legalize – the cryptocurrency firms in the special zone.


 
The companies will also be allowed to operate exchanges, offer initial coin offerings (ICOs) and engage in cryptocurrency mining within the zone, he added, stating:

We are about to license 10 platforms for cryptocurrency exchange. They are Japanese, Hong Kong, Malaysians, Koreans…They can go into cryptocurrency mining, initial coin offerings, or they can go into exchange.

There is a caveat, however. Any exchange of fiat money into cryptocurrencies or vice-versa should be conducted beyond Philippines’ borders to avoid infringing the country’s laws.

To aid in bringing jobs to those companies, the economic zone’s regulator is also considering establishing a new financial technology university in the economic zone with a specific focus on blockchain technology, Lambino added.


The embracive stance follows newly introduced rules by the CEZA in February which allowed cryptocurrency companies to legally establish offices and facilities in the special zone. To gain a license, companies must invest at least $ 1 million in the zone over two years and pay up to $100,000 in licensing fees.

Meanwhile, in the mainland, the Philippines’ central bank was previously known to be reviewing the applications of a dozen operators vying to register and launch cryptocurrency exchanges in the country as recently as December. It remains to be seen if these operators have since switched tact to register in the economic zone instead.

The Philippines became one of the earliest nations in the world to publish regulations for cryptocurrency exchanges in early 2017. The deputy director of the central bank, appearing in a televised interview in October 2017, lauded the ‘pioneering regulation’ and said bitcoin, as a monetary instrument, is “fast, near real-time and convenient”.

Source:  https://www.ccn.com/philippines-legalizes-cryptocurrency-exchanges-in-economic-zone/

The government has called for a tax on encrypted currency transactions, and countries have started to introduce tax measures, which has become a new way for governments to step up regulation and generate revenue for the government.

Proper regulation will only make cryptocurrencies more responsive to the market, and more people will be involved.

Yeah, it is really great and for the fact that some countries including Philippines, are already beginning to see the importance and the usefulness the usage of cryptocurrency would be for the economy of the country if allowed on a large scale. It is normal since some smart countries like Japan and Australia has decided to take the lead over the years and pretty much, I am sure they all see how that is going for most of them pretty well which is why this is like the major news we will keep getting to see for a while.

It is great that Philippines is starting to see the potential of cryptocurrency and that they are starting to regulate cryptocurrency in a good way. I think time will come that the government of the Philippines will start taxing cryptocurrency income and might even threat it as an asset.

It's pretty frustrating when the majority of the people here only think about Bitcoin as a way to earn money, or that it can end all the problems in the world, and then mainly poverty. It's all fine that people can earn some bits through signature campaigns, bounty campaigns, faucets and all other related options, but they don't realize it has not much to do with Bitcoin itself; you are effectively being paid by an external party.

In some cases they use their own Bitcoin revenue to pay users, but in most cases that external party converts fiat to Bitcoin and then pay their users. It's not for nothing that the majority of these parties have significantly lowered their payouts due to the price that has gone up throughout the years. I'm glad that those outside this forum have a completely different way of thinking, which again shows why most of the people are here in the first place.

Well, there must always be a way for everyone to benefit so as to move forward anyway. Apparently, what is regulation without taxation and how does the government benefit from it as well without it ? The good thing however here is that a lot of citizens will be able to find things to do even outside their countries, get paid in cryptos, and at the end have nothing to fear as long as they pay up what belongs to the government as tax and everyone gets going with some pretty good benefits for the economy in the long run.

It is just the realization of the Philippine government to take part of these newly form of exchange. And if happens that taxation will imposed for crypto holders, definitely it become a good source of income the country as a lot of their people are now in crypto. Hopefully to see numbers of crypto open in Philippines.

Look, the use of Bitcoin is not just to get money or make money but the use of Bitcoin is the decision to get rid of other currencies that cost you more and high transaction rates, interests and many more like tax of government and the wastage of time etc. in order to get rid of all these stuffs people are choosing Bitcoin as a mode of payment in some places and on a large scale people are investing in order to make huge profit. Forget about the negative site and try to be positive about its real face and avoid propaganda’s and negative news.

This is great news. Regulation = acceptance in the end. And thats what we need more of. More countries should follow suit.

I appreciate the incentives that the Philippines government is taking because they are in crisis and start to think differently and use the newest trends in world, that`s the spirit.