As demand for crypto assets grows, Union Bank of the Philippines will provide custodial services

<p>As cryptocurrencies gain popularity in the Philippines, a Filipino bank is establishing a digital asset custodian desk.</p> <p>The Union Bank of the Philippines intends to launch a cryptocurrency custody service as the asset class grows in popularity among the local populace.</p> <p>Every Customer Has a Strategy</p> <p>According to Bloomberg, Cathy Casas, the bank's head of blockchain and applications coordination, recently detailed the institution's objectives. The top executive emphasised that it is a necessary technique used to safeguard the organisation's future.</p> <p>This decision was made in light of the fact that 1% to 2% of all Filipinos own crypto assets. Because of the growing interest in the asset class, it is projected that up to 5% of the population will invest in cryptocurrencies over the next five years.</p> <p>Casas noted that the majority of crypto adopters are younger generations who own tokens and make money through play-to-earn gaming platforms.</p> <p>According to Binance, the largest cryptocurrency exchange, there are more Filipinos who own cryptocurrency assets than the global average. According to the exchange, one out of every five Filipinos has experimented with cryptocurrency assets.</p> <p>Union Bank of Philippines' planned business will consist of tokenised bonds issued to its consumers.</p> <p>"We are making steps to educate our clientele, including through social media, to ensure their safety," Casas added.</p> <p>Given that it is the first bank in the country to launch its own stablecoin, PHX, in 2019, the organisation anticipates a smooth delivery. According to the bank, the PHX is assisting in reaching the unbanked in remote and difficult-to-reach sections of the country.</p> <p>Regulatory Issues</p> <p>As public awareness of cryptocurrencies expands, regulators will face new challenges in limiting marketing to retail consumers while also warning of the hazards connected with the assets.</p> <p>Benjamin Diokno, governor of the Central Bank of the Philippines, has