Is PSE Eyeing Crypto Trading?
With the sheer amount of crypto traders, cryptocurrencies are now demanding the attention of national governments and stock exchanges. The Philippine Stock Exchange is no exception and is reportedly waiting for the Securities and Exchange Commission to relay the rules and regulations that will guide crypto trading.
"If there should be any exchange for cryptos, it should be done at the PSE. It's because we have the trading infrastructure. But more important, we'll be able to have investor protection safeguards especially with a product like crypto," Monzon said, according to CNN Philippines.
Cryptocurrency trading entails the buying and selling of digital “coins,” usually through a trading platform. In the Philippines, crypto traders can use digital platforms like PDAX, Coinbase, Binance, and perhaps one day, a PSE crypto exchange.
Unlike the Philippine peso or the U.S. dollar, most cryptocurrencies are not issued by the government or central banks, a fact that plays a part in its volatility. Many of these decentralized cryptocurrencies are based in the U.S., such as Dash, Ethereum, Maker, and Dogecoin. Some countries are battling this by issuing their own cryptocurrencies. These countries include: Ecuador, China, Senegal, Singapore, and Tunisia. Japan, Russia, and Sweden plan to join their ranks soon.
However, the unregulated system of cryptocurrencies is part of its appeal, as the volatile market can result in instant riches. But also instant poverty, says Monzon.
Plenty of Filipinos are beginning to show interest and willingness to buy and sell crypto, but there is no shortage on reports of amateur traders being scammed on crypto ads or losing their investments due to the market. So perhaps it’s time for PSE to step in to ensure that there are safeguards in place for potential traders.