Philippine Central Bank Governor Explains Crypto Policy — ‘I Don’t Want It Banned’ – Bitcoin News Regulation

Philippine Central Bank Governor Explains Crypto Policy — ‘I Don’t Want It Banned’ – Bitcoin News Regulation

The governor of the central bank of the Philippines has shared his policy on the regulation of cryptocurrencies. “I don’t want it banned,” he said, advising investors not to put money they can’t afford to lose into cryptocurrencies.

Philippine Central Bank Governor on Crypto Regulation

Felipe Medalla, Governor of the Bangko Sentral ng Pilipinas (BSP), shared his policy on cryptocurrency in the interview with Forecast, published on Friday.

Medalla was asked, “What do you think about cryptocurrency?” He replied:

I don’t want it to be banned, but I don’t want to call it cryptocurrency.

The central bank governor explained that, in his opinion, cryptocurrency “has very little use for real payments, especially when the price is so volatile.” Pointing out that the currency cannot be very volatile, he suggested calling it a “crypto asset”.

Medalla then criticized bitcoin’s environmental impact, stating that the cryptocurrency is “bad for the environment because the amount of electricity used by miners is greater than the electricity consumption of some countries.”

Still, crypto “is a good thing” because it’s “an alternative to government” in countries “with so much financial and economic repression,” he admitted. “The other thing it’s useful for is avoiding government oversight,” the central banker pointed out, adding: “The question is, what social good does that achieve?”

Noting that “in most countries where the government isn’t perfect but contributes a great deal to the common good, you don’t necessarily want to weaken the government,” Medalla says:

So my opinion is that his value may be too high because of everything I said.

The Philippine central banker continued to talk about the fall of the crypto market. “It has already happened that the bubble collapsed. Is not it? Some crypto assets have fallen by almost two-thirds in a very, very short period of time,” Medalla detailed, elaborating:

So my advice is always if you’re going to buy this, don’t invest money you can’t afford to lose.

Regarding the crypto policy of the Philippine central bank, Medalla stressed: “The position of our policy, it must not be used to avoid money laundering and know the rules of its clients.”

He concluded that for exchanges, “where you exchange crypto assets for bank deposits or physical currency,” the central bank’s policy is to implement “all the rules that are necessary to prevent money laundering, especially the financing of crime.”

What do you think of the Philippine central bank governor’s comments? Let us know in the comments section below.

Philippine Central Bank Governor Explains Crypto Policy — ‘I Don’t Want It Banned’ – Bitcoin News Regulation

Kevin Helms

An Austrian economics student, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests lie in bitcoin security, open-source systems, network effects, and the intersection between economics and cryptography.

Image Credits: Shutterstock, Pixabay, Wiki Commons, lev radin

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