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What You Need To Know For Your Virtual Currency Exchange Registration in The Philippines?
What You Need To Know For Your Virtual Currency Exchange Registration in The Philippines?
In case you are thinking of starting a virtual currency (VC) exchange or VC-related
business in the Philippines, it would always be best to conduct a few intensive
researches about the country’s rules and regulations. Adhering to regulations is one of
the best things that you can do for a business; however, laws can get tricky if you are
not familiar with it. Some of the most vital information is gathered in this article to guide
and accompany you in registering your virtual currency exchange business in the
country.
For example, a bill of Php100.00 (Philippine Peso), which is physical cash, is fiat, the
Php100 stored in your electronic wallet (such as coins.ph, GCash, etc.) is E-Money, and
Bitcoin is a type of virtual currency. A 100-peso-bill can be readily accepted anywhere in
the Philippines when buying goods, paying for services, and many more, same with the
E-Money of Php100 which can also be accepted as a “card payment” or can be
withdrawn right away as cash. Meanwhile, Bitcoin, which is stored digitally, would still
need to be converted first to Php, then transferred to a destination wallet or be
withdrawn as cash through different mediums that are accepted in the country.
Once you have fully understood and grasp what virtual currency is, you would then start
to wonder just how, when, and where we can convert these VCs into other forms of
acceptable currencies. This need is what Virtual Currency Exchanges answer.
The Process
First Stage: Screening. A new applicant shall submit the following for evaluation:
Application Letter
officers.
Second Stage: Required Documents. If the applicant was not considered eligible during
the first stage, he or she will receive a denial letter from the Bangko Sentral, otherwise,
if the application has been approved, the following documents will be needed to
complete the registration process:
1. Business registration papers.
Authority.
2. A copy of business registration and/or permit from the city or municipality where your
business will be located and will be operating for the current period. The permit or
registration papers should indicate the line of business of your registered company.
Note: All company entities that are directly involved in the money service
business transactions are required to attend a Bangko Sentral or AMLC-
accredited seminar on the requirements of the AMLA, as revised, especially on
customer due diligence, reporting of covered and suspicious transactions, and
record keeping before the start of company operations. Refresher training shall
furthermore be conducted at least every two (2) years.
5. A signed sworn certification (either by the proprietor, managing partner, or president),
that a Money Laundering and Terrorist Financing Prevention Program (MLPP) has been
produced, adopted, and distributed to all of the company’s employees.
6. Clearance from NBI or its equivalent in foreign jurisdictions, of all the directors and
principal officers involved.
7. Duly notarized certification from the owner, managing partner or president of the
company, as to compliance with the required minimum capital under Subsection
4511N.2 of the Manual of Regulations for Non-Bank Financial Institutions.
3. After submitting all the required documents, a Notice of Approval will be sent
out and upon reception, you would then have to pay the corresponding fees.
The one-time, non-refundable registration fee for RTCs also depends on the
category your business is under and it can range from Php 20,000.00 to Php
1,000 shall be paid for every separate office other than the head office of
your company.
4. After payment, you would just have to wait for the issuance of your
(COR).
It is true that business registrations can be really tough, especially if your business is
related to finances due to different laws and additional regulations in the country.
However, know that you are not alone and that consulting a lawyer for business
registrations is always a good decision as they can help make things easier for you and
the company. If you need to contact a lawyer to handle your business’ registration, Yap
and Associates Law Office offers expert and top-notch legal service and has a handful
of lawyers to take care of the job for you.
P R E V I O U S P O S T How
to Start a Business in the Country? A Guide to
Business Registration in Manila, PhilippinesN E X T P O S T How can the Top
Law Firms in Manila, Philippines Improve the Country?
0S H A R E S