Inflation rates increasing seem to be a growing menace. With American Sanctions troubling Venezuela and Iran, they had no other option but to progress into cryptocurrency due to the spikes in the inflation rate. The Philippines who may not have any direct conflict with the USA, however, has been caught in between USA’s trade war with China.
The Philippines Peso (PHP) is facing the highest inflation rate which stands at 6.4% with an exchange rate of 1 PHP being equal to $0.019.
The community-driven Bitcoin Statistics website, CoinDance showed Filipinos were exchanging fiat for cryptocurrency at a very high level. In July it can be seen that there was not much activity, however, after the American president, Donald Trump announced tariffs of 25% Filipinos rushed in with volumes of more than $500,000 per week in August.
There are plenty of signs suggesting Philippine’s government has a positive approach to cryptocurrency. Two months ago, Toshi Times reported on Philippine’s central Bank the Bangko Sentral ng Pilipinas (BSP) approved applications of two new crypto exchanges.
One of Philippine’s leading newspaper The Manila Times reported `the Philippines’ Securities and Exchange Commission (SEC) plans to release draft rules to help govern cryptocurrency exchanges. As of now, cryptocurrency exchanges are approved on a case to case basis.
Philippine’s leading bank UnionBank also expressed their hopes of Bitcoin mining. The CEO of UnionBank Edwin Bautista spoke to media outlet ABS CBN stating, “The blockchain technology is one of those technologies that are predicted to really alter the face of banking.” UnionBank also offered the first Blockchain payment system for businesses in Philippines called Visa B2B Connect.
Cryptocurrency is proving itself to be the best alternative when a nation is seen to undergo serious inflation issues. With Venezuela already bringing in their own cryptocurrency called the Petro, and Iran slowly drifting into understanding the advantages of cryptocurrency it is only a matter of time before Philippine’s walk the same path as the others.
Image Source: “Flickr”