By As per a local publication, Union Bank of the Philippines which stands as one of the largest commercial banks in the country recently launched the nation’s first cryptocurrency ATM.
In an official statement, Union Bank said that the aim of the ATM is to provide local users with an easy solution to convert crypto funds to fiat and of course vice versa.
Developed and distributed by Union Bank, the crypto ATM is a two-way machine, allowing consumers to purchase as well as sell digital assets.
UnionBank stated:
“In the bank’s continued quest to cater to the evolving needs and tastes of customers, including clients who use virtual currency, the ATM will provide these clients an alternative channel to convert their pesos to virtual currency and vice versa.”
Crypto ATMs Could Boost Adoption In The Philippines:
Going back as far as 2017, the central bank of the Philippines, the Banko Sentral ng Pilipinas (BSP) has taken a proactive and positive stance with regards to regulation for the local crypto sector.
The island nation stands as one of the first countries to move toward the regulation of digital assets as a recognised asset class as well as a method of remittance. UnionBank also stated that they have been in a continuous collaboration for the central bank for the past several years with the launch of their crypto ATM being approved by the nation’s regulator.
This marks the first case in which a central bank and a commercial bank has collaborated to facilitate the launch of a crypto ATM.
That being said, the bank only launched one crypto ATM so far. However, UnionBank has plans in motion to evaluate the demand from users as well as the performance of the ATM in the weeks to come. This could and hopefully will lead to more ATMs being deployed around the country in the near future.
Just last week, on Laura’ Shins Unconfirmed podcast, Dan Morehead, CEO of Pantera Capital stated that one in ten adult users make use of Coins.ph which is the Philippines most popular crypto exchange.
Morehead said:
“A week or so ago, we announced that we sold Coins.ph in the Philippines and I think that is a great example of Bitcoin’s actual usage now and not 20 years from now. They have one out of ten adults in the Philippines as a customer. That’s very real. I think it is important for the community to really know that there are applications that are working right now.”
As of early 2018, Coins.ph had more than five million users on their platform, utilising digital currencies to pay utilities, credit card payments, mobile phone credit, trading of digital assets as well as the sending of money locally.
Currently, the cryptocurrency adoption rate in the Philippines is superior to many of the other major regions. This is mostly in part due to the lack of viable banking options for a great deal of the local populace.
Ultimately, the deployment of central-bank approved crypto ATMs developed by UnionBank could lead to a significant increase in trust and confidence towards digital currencies as well as bolster the crypto industry.
Could The Philippines Be One Of The Best Countries For Crypto Investors?
Currently, crypto investors and enthusiasts are able to purchase and sell cryptocurrencies almost everywhere in the Philippines.
Users have the option of trading crypto assets for fiat money via local brokerages and crypto apps at thousands of remittance locations and convenience stores across the country. Ultimately, UnionBank’s crypto ATMs could very well increase the liquidity as well as improve the adoption and accessibility of crypto in the region. This is especially true if the bank indeed makes the decision to expand their ATM operations in 2019.
Local investors in the Philippines remain optimistic with their stance on the crypto sector in the country. This is in part due to CEO of UnionBank Edwin Bautista’s enthusiasm towards cryptocurrency.
Back in 2018, Bautista revealed a GPU-based Bitcoin mining rig at the BusinessWorld Economic Forum and demonstrated a number of experiments which the bank have working on in the digital currency arena.
Could UnionBank and the central bank indeed increase the adoption of cryptocurrencies with their ATM pilot? Let us know what you think by leaving a comment below.
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