Governor of the United Bank of the Philippines: The new crown virus epidemic will accelerate the adoption of central bank digital currency

Edwin Bautista, CEO of Bank of the Philippines UnionBank, said the new coronal pneumonia (COVID-19) pandemic will bring doom to cash and accelerate the adoption of digital banking services including central bank cryptocurrency speed.

Governor of the United Bank of the Philippines: The new crown virus epidemic will accelerate the adoption of central bank digital currency

Source: Pixabay

Digitization is the right way to cope

In an interview with Euromoney, the ninth largest bank in the Philippines, UnionBank said that this may be the beginning of the end of hard currency cash. At least for the Philippines, the Philippine embargo measures have affected more than 2,000 islands Life poses a challenge. This is also difficult for the country ’s central bank, which must improve its ability to deliver banknotes to banks and ATMs scattered across the islands. The most reasonable option is to bet on the digitization of the financial system, so that people can use digital currency to meet their daily needs.

Bautista expects that eventually banks will be forced to test and issue digital cash, and maybe even cryptocurrencies. He says:

"One of the key insights here is that the longer the interruption, the more vulnerable the traditional cash supply chain. Therefore, I hope banks will test, develop and deploy digital cash and currencies more openly, QR codes, and maybe even cryptocurrencies And digital tokens. "

Bautista is proud that UnionBank has become one of the most advanced digital banks in the region. The bank launched multiple remote command and control systems for its digital system and required all non-frontline employees to work from home. Therefore, even if 75% of employees are working remotely, 95% of the bank ’s branches are still in business.

Last month, UnionBank opened 7,000 new fully digital accounts, and this month 20,000 customers downloaded its digital application. Last week, the company's board of directors held its first all-digital meeting.

For Filipino consumers, given the current situation, many of them turned to online banking.

Central bank may speed up adoption of central bank cryptocurrency

Although it is unclear whether cash poses a real risk, people's concerns about cash have also increased. In Singapore, the Monetary Authority of Singapore (MAS), which acts as a central bank and a major financial regulator, encourages the public to use cryptocurrencies and other online and contactless payments, and wash their hands after touching cash.

Eventually, central banks around the world may switch to blockchain-driven currencies or cryptocurrencies. Earlier this year, Bitcoinist reported that the Bank of Canada and other central banks from Japan, Switzerland, the United Kingdom, Sweden and the European Central Bank (ECB) are seeking cooperation as part of the plan to create a sovereign central bank digital currency (CBDC). The major central banks formed a team to test the central bank's crypto assets (CBDC).

We will continue to update Blocking; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Blockchain

User information is not guaranteed? UK Customs and Excise Department asks cryptocurrency exchanges for transaction data

According to Coindesk's August 7 report, the UK tax authority, the HMRC, is putting pressure on cryptocurrency e...

Blockchain

Interview with BitMax.io Cao Jing: Compliance, Localization and Traffic Integration, Exchange Status and Future

On October 19th, at the 1st anniversary of the BitMax.io exchange, Jingwei China Partner Harry, Sequoia Capital Partn...

Blockchain

Number said | In the first half of 2019, blockchain private placement financing of 11.851 billion yuan exceeded 60% of funds invested in the US market

As the cryptocurrency undergoes the “Bear Bull” conversion, the blockchain private equity financing mar...

Opinion

Amazon's participation and the skyrocketing value of AI company Anthropic become FTX's biggest hope of repaying the debt?

FTX previously invested $500 million as a lead investor in Anthropic's Series B financing round, so the expected appr...

Blockchain

New gameplay? A rubbish currency exchange where everyone can use the currency

BlockBeats learned that the Shitcoin.market was officially launched on August 14. This is a decentralized trading pla...

Blockchain

A picture to understand the difference between Bakkt's bitcoin futures and "traditional" futures

According to the delivery method, futures contracts are usually divided into cash delivery and physical delivery. At ...