The Philippines has adopted a new set of regulations for cryptocurrency and ICOICO
(Initial Coin Offerings) is an acronym, which means a primary currency offer. Details called Asset TokenToken
– is an accounting unit that is used to represent a digital balance in an asset.Details Offering (DATO).
The administration of the Cagayan Economic Zone (Ceza) has published a regulatory framework for regulating the crypto-industry in the country. Covering areas related to the acquisition of cryptocurrencies, including utility and security tokens. Ceza explained that the goal is to effectively regulate cryptocurrency, protect the interests of investors and promote innovation.
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Digital Asset Token Offering (DATO) rules cover the acquisition of all types of cryptocurrency assets, including stock-tokens and instrumental tokens. Commenting on this issue, CEZA administrator and CEO Raul Lambino reiterated that the main goal of the Philippines is to release new crypto-rules to encourage innovation, as well as to protect the interests of the investor, obliging market participants to act in strict accordance with the law.
"We strive to provide a clear set of rules and guidelines that will stimulate innovation, as well as ensure their proper adherence to industry participants. We hope that this set of regulatory innovations will contribute to the introduction of the blockchainBlockchain
is a continuous and sequential block chain of information (digital linked list). When building a blockchain, copies of related blocks are simultaneously stored on multiple computers.Details and cryptocurrencies by institutional investors and the financial system."
In particular, in accordance with the new regulatory framework, CEZA will serve as the main regulatory body, and the Asian Blockchain and Association of Cryptocurrency (ABACA) will act as a self-regulating organization responsible for implementing and enforcing the rules.
It is reported that in the future all ICO projects should have appropriate technical documents, which clearly indicate the main details regarding the project, including information about the issuer, "expert advice and certification," and much more.
In addition, the regulations require that all generated ICO tokens be listed on the licensed "Offshore Virtual Currency Exchange (OVCE), and interested parties enter into specific agreements with regulated wallets providers and custodians".
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DATO rule levels
It is important to note that the new rules are reported to represent the three levels of DATO available in the region.
Those who collect funds in cryptocurrencies in the amount of not more than $ 5 million, are subject to the regulation of the first level. Projects that collected from $ 6 to $ 10 million – under the regulation of the second level, and the third level is designed for those who received investments of more than $ 10 million.
Editor: Alyona Nabok