Philippines to Issue 25 Crypto Exchange Licenses

The administrator of a government-controlled economic zone in the Philippines has revealed plans to issue licenses to cryptocurrency exchanges
03 July 2018   1454

Residency in the Cagayan Special Economic Zone of the Philippines will be received by 25 "trustworthy" crypto exchanges, CCN reports.

The agency plans to issue licenses to sites whose activities do not contradict the current cryptocurrency legislation of the country.

We do not want the Philippines to be a haven for scammers even if these scams are happening abroad. That’s why through our probity and integrity check we can determine if their transactions are just designed to entice unsuspecting people to invest in Bitcoin or whatever crypto coin that is a fraud.
 

Raul Lambino

Chief, Cagayan Economic Zone Authority

According to him, cryptocurrency exchanges having an office in a special economic zone will have to invest at least $ 1 million in it within two years of work.

Despite the limited number of licenses, each of 25 crypto exchanges will be entitled to issue up to 30 trader and broker sub-licenses.

In April, the authorities of the province of Cagayan said that they intend to allow the activities of ten bitcoins and blockchain companies in a specially designated economic zone where they will receive tax preferences and create new jobs openings.

BTC Futures Didn't Collapse Market in 2017, - CME

According to the managing director of CME Group, they "didn’t have that wherewithal, that ability to drive that impact"
14 November 2019   84

Tim McCourt, managing director of CME Group, has denied the widespread theory that the alleged launch of regulated bitcoin futures caused a market crash after the 2017 rally.

A lot of times, people ask us, ‘Did futures cause the price to decline from $20,000 to $3,000?’ And the answer is ‘no,’.
 

Tim McCourt

Global head of equity index and alternative investment products, CME Group

He recalled that at first the turnover of bitcoin futures on CME was 1,100 contracts, which is equivalent to 5300-5500 BTC or about $ 100 million at prices at the end of 2017.

There is no way over that period of time, given the size of the Bitcoin market, in terms of spot trading or the ability to mine Bitcoin, that futures could cause that impact. These things are governed by the law of supply and demand. We just didn’t have that wherewithal, that ability to drive that impact.
 

Tim McCourt

Global head of equity index and alternative investment products, CME Group

Chicago Mercantile Exchange (CME) Bitcoin Futures was launched on December 18, 2017. A day earlier, the price of bitcoin reached a historic high in the region of $ 20,000, but soon plummeted.

Despite the sharp change of mood and the bear market, the volume of bitcoin futures trading on CME grew - by May of this year, the average daily turnover reached 13,600 contracts, corresponding to 68,000 BTC or $ 515 million at the exchange rate at that time.

We certainly play a role in the price discovery because people can freely express their demand to buy and sell at CME and transact with one another, but I wouldn’t necessarily say we are impacting price.
 

Tim McCourt

Global head of equity index and alternative investment products, CME Group

Among other things, a CME representative said that he is an ardent supporter of Bitcoin ETF and hopes to see such products on the market soon.

ETF providers and asset managers are our customers at CME. They use our futures products to create other ETFs, to hedge structure projects, and we’re certainly trying to enable them to do the same type of strategy on Bitcoin. We want to make sure they have the risk-management tools they need to be successful in managing their risk. We’re working with them to make sure they have what they need for trying to introduce products such as an ETF.
 

Tim McCourt

Global head of equity index and alternative investment products, CME Grou

Recently, Christopher Giancarlo, the former head of the Commodity Exchange Commodity Trading Commission (CFTC), said recently that the launch of the CME Bitcoin Futures was a targeted action by the Donald Trump administration to eliminate the bubble in the cryptocurrency market.