The country of Philippines reconsiders regulations
According to information coming from the Securities and Exchange in the Philippines (PSEC), it has once again delayed the awaited regulations for Initial Coin Offerings (ICOs) in the country. Coming from reports in the Philippines Star, which is a local english daily news website, the implementation of ICO regulations in the country has been postponed. This came after the government had agreed to release these guidelines by the end of 2018.
The PSEC reports that it has been working together with different stakeholders and regulators in order to complete a draft. However, it has come to their attention that they will require more time to set up a new draft of the regulations for the industry. It was also hinted that once the ICO’s get designated as securities it must be approved by them.
The regulators have also shown flexibility in this matter, stating that the sale of tokens to less than 20 people or entities within a year can be exempted from registration. This also includes sales from institutions like Banks and investment agencies as well as pension funds.
Regulations for cryptocurrencies can become complicated
The indecisive attitudes of regulators are due to the fact that they are facing difficulties in reaching a consensus on the new rules regarding these digital currencies. According to the president of PSEC, Emil Aquino, the sector has been beneficial to a lot of people and banning it like China is not a solution to any of the problems.
The government has been supportive of more than 10 different Blockchain companies that have set up offices in the special economic zone of Cagayan. There are currently three cryptocurrency exchanges that have been granted a licenses to operate in the country for the longterm. However, there is still more clarity needed in the ICO sector as some countries are looking down on the situation due to their lack of control and fear of money laundering activities taking place in the ICOs sector. The Philippines is eagerly awaiting regulations in the crypto sector, but this does not stop individuals from engaging in the technology and getting familiar with its potential.
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