Binance to aid the Philippines in crypto regulations

Sahana Kiran
Binance
Source – Unsplash

The world’s largest crypto exchange Binance has been on an expansion spree all year. The firm has veered into an array of countries legally. Changpeng Zhao the founder of the exchange has been traveling and meeting with several governments. While most of them were successful, Binance’s entry into the Philippines was rather challenging. However now, the platform seems to have managed to garner the support of the government.

As per a recent report, Binance, as well as FinTech Alliance Philippines, were aiding the government with regard to crypto regulations. In a recent Senate hearing the aforementioned duo along with Committee on banks, financial institutions, and currencies preceded by Senator Mark A. Villar, the countries Security Exchange Commission [SEC], Bangko Sentral ng Pilipinas [BSP], and the Cagayan Economic Zone Authority [CEZA] were present.

During this hearing, the entities present discussed an array of things including guidelines and policies governing both crypto and fintech. The government seemed to be working on formulating laws that did not hinder innovation. Yet, consumer protection was their priority.

Binance was reportedly represented by its APAC Director Leon Foong along with General Manager for Binance Philippines, Kenneth Stern. Speaking about the exchange’s latest move, Stern said,

“We strongly believe that the crypto industry can greatly benefit the Filipino people through addressing the necessity of financial inclusion through digitalization. 78% of Filipinos remain unbanked, but crypto can help decrease that number as crypto asset holders will soon surpass the number of credit card holders in the country.”

Will Binance now be allowed to operate in the Philippines?

As mentioned earlier, entering the Philippines wasn’t a cakewalk for Binance. A think tank urged the SEC to reconsider the presence of the exchange in the region. Following this, the SEC asked the public to be wary of the exchange. The Philippine SEC said,

“Consequently, it [Binance] does not possess the necessary authority and or license to solicit investments as only registered corporations can apply for and be issued the necessary licenses to solicit investments.”

Despite garnering backlash of this magnitude, Binance seemed to be working with the SEC and other entities of the government. Several even speculate that the exchange would soon set up shop in the region legally.