The Philippines' digital transformation could make it a new crypto hub

The Philippine archipelago country is exploring blockchain use cases in different verticals.

Binance, the cryptocurrency exchange, recently acquired a Virtual Asset Service Provider (VASP) license from the Bank of Spain in order to operate in the country. In its ambitious expansion plans as the cryptocurrency exchange persists despite the global leap and market crash in the cryptoverse, there is another country Binance is looking to: the Philippines.

In June, Binance CEO Changpeng Zhao told a press briefing in Manila that the exchange was seeking a VASP license in the Philippines. In addition to VASP, Binance wants to obtain an e-money issuer license from the country's central bank, Bangko Sentral ng Pilipinas (BSP). While the first license would allow the platform to offer services for trading crypto assets and the conversion of such assets in the Philippines, the second will allow it to issue e-money.

The Philippines is the 36th largest economy in the world by nominal GDP and the third largest in Asia, according to World Bank data. Despite its small size, the country is considered one of the fastest growing economies in the world due to its new industrialization, marking a distinctive shift from agriculture to services and manufacturing.

Philippine Gross Domestic Product in 1997 US Dollars – 2001. Source: Trading Economics

Cryptocurrencies are extremely popular in the Philippines due to the economic shift the country went through when digital assets started gaining popularity. A recent survey revealed that the Philippines ranks 10th in cryptocurrency adoption, with over 11.6 million Fil...