Philippines central bank embraces digital tokens

The Philippines central bank governor, one of the countries studying the launch of its own digital currency, recently said digital tokens “expand access to financial services and reduce costs” while also reducing the use of fiat currencies.

The Philippines central bank sees digital tokens as a means to reduce the use of fiat currencies and improve financial services in the country, even as the country is still researching its own digital currency.

Benjamin Diokno, governor of the Bangko Sentral ng Pilipinas, or BSP, the central bank of the Philippines, told Bloomberg that digital tokens “expand access to financial services and reduce costs” while also reducing the use of fiat currencies.

Diokno said digital tokens improve the way central banks provide financial services to citizens.

The Philippines is one of the countries studying the launch of its own digital currency. The BSP said its research will focus on the feasibility and potential policy implications of a central bank digital currency, or CBDC. The country has already launched a blockchain-powered platform to distribute government-issued bonds.

According to previous reports, CBDC allows the central bank to reduce its reliance on clearing houses, cut costs, and will enable it to implement monetary policy. CBDC can also be distributed to citizens digitally.

Source: Cointelegraph