Philippine Government Says It Will Allow 10 Cryptocurrency, Blockchain Companies Run In Economic Zone

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Philippine Government Says It Will Allow 10 Cryptocurrency, Blockchain Companies Run In Economic Zone

In Its latest statement, the Philippine government came out clearly to outline that it was going to allow 10 cryptocurrency and blockchain companies to be run in the Cagayan Economic Zone. It was a short while back that the Cagayan Economic Zone Authority (CEZA) proceeded to set up a Fintech hub and its central objective was the creation of an Asian “Silicon Valley”. CEZA is fundamentally a corporation owned by the state with most of its operations revolving around the management of the Cagayan Special Freeport and Economic Zone.

Raul Lambino, who is the current Chief of CEZA in making his latest statement outlined that they remained much dedicated to doing what it took in line with permitting Initial Coin Offerings (ICOs), mining and cryptocurrency exchanges.

He delved deeper into the matter to outline that they were at the moment planning to license about 10 platforms for the cryptocurrency exchange. He mentioned the Koreans, Malaysians, Hong Kong and the Japanese. He said that they could resort to exchange, initial coin offerings or cryptocurrency mining.

Lambino asserted that the fiat-to-crypto and crypto-to-fiat exchange transactions needed to be done offshore in a bid to avoid colliding with Philippine law. The tax breaks that the various firms will be receiving will be a huge relief, but it is worth noting that that they will also in the same vein be entrusted with the creation of employment opportunities.

CEZA expects the companies make investments of almost $1 mln over the next two years and asides from that it hopes they will manage to pay about $100,000 in license fees. He went further to outline that CEZA had plans underway to come up with a blockchain and fintech university in its quest to serve the different new companies with employees of top line skill.

It was at the start of this month that the Securities and Exchange Commission (SEC) of the Philippines moved forward to issue out an advisory on cryptocurrency Cloud Mining contracts and it was rather assertive in directing that they be classified under the securities.