Cryptocurrency investments have risen in the country, especially after the Banko Sentral ng Pilipinas (BSP) released the guidelines for its exchange with Circular No. 944. Bitcoins, in particular, have become a popular mode of payment or currency transfer in various industries. Not far from Bitcoin’s success is the escalation of the demand for Ethereum.
Ethereum is another form of cryptocurrency which compensates the use of a node’s computing power creating a global computing system. Similar to bitcoins, it uses the blockchain technology to process the currency or tokens known as Ethers. To find out more about Ethereum, we consulted the Co-founder and CEO of Satoshi Citadel, John Bailon:
PHILIPPINE TATLER: What distinguishes Ethereum from Bitcoin?
JOHN BAILON: The biggest difference is that Ethereum allows for smart contracts to be run on its blockchain. If Bitcoin is a global, decentralized ledger, Ethereum is a global decentralized world computer.
PT: Is the Philippine market ready for other cryptocurrency?
JB: Yes, the demand for other cryptocurrencies in the Philippines is growing bigger and bigger every day. We're seeing a lot of interest from our users for other types of cryptocurrencies -- a welcome development as it basically means Filipinos are getting the hang of how digital currencies work.
PT: Do you think BSP Circular 944 is enough for the regulation of all these other cryptocurrencies?
JB: Circular 944 is flexible enough to cover any form of cryptocurrencies, yes. The BSP did very well with that circular. They were able to find a good balance between allowing blockchain based cryptocurrencies (virtual currencies in the BSP circular) and similar technologies to have enough space to develop and mature, and still enforce enough checks and balances to protect Filipinos from malicious operators that take advantage of such technologies.
PT: Do you advise converting or divesting Bitcoin investments to Ethereum?
JB: I would not be in a position to offer investment advice, but I will say this: I think Ethereum's technology opens up new and exciting ways to build apps that are natively decentralized -- free from censorship. I think the Ethereum ecosystem is here to stay and the team behind it are some of the best minds in software and cryptography. I see a future where thousands of blockchains that offer unique and novel functionalities that co-exist.
PT: What is the future of Ethereum in the Philippines?
JB: Similar to Bitcoin, I think Filipinos will appreciate and embrace Ethereum in the near future.
Mr. John Bailon is the Chief Executive Officer and Co-Founder of Satoshi Citadel Industries. SCI is a financial technology company building the Blockchain ecosystem in the Philippines. For more information about the company and if you are looking to invest in Bitcoins, you may visit www.sci.ph.