With authorization from the Philippine Government, the Cagayan Zone Economy Authority (CEZA) is empowered to regulate the cryptocurrency sector and safeguard the investors. ABACA (Asia Blockchain and Crypto Association) is given the task of implementing the newly framed rules for DATO (digital asset
Three levels of DATO
The newly framed rules apply to tokens that will be listed on the offshore virtual currency exchange. DATO comprises three levels. The tier one comprises projects having crypto assets valued less than $5 million. The crypto assets valued between $6 million and $10 million fall under tier two. The crypto assets valued over $10 million will fall under tier iii.
Raul Lambino, Chief Executive Officer, and administrator of CEZA said the goal of the organization is to frame the guidelines and rules for ensuring compliance in the ecosystem. The innovative regulations help faster adoption and acceptance of the digital assets by the traditional financial system and institutions.
Lambino said the new regulations incorporated into the system ensures greater transparency and protection for the investors. The inclusion of experts and DA agents help to bring in neutral and competent third parties into the processes for ensuring accurate and truthful issuers.
Ceza issues nod to 19 companies to operate cryptocurrency exchanges
Around 19 firms have got the nod of CEZA to operate cryptocurrency exchanges. The new rules are aimed at ensuring responsible use of the technologies and encourage the innovators to use innovative technologies. The collaboration with industry players and fintech companies helps the companies to get insight and embrace new technologies in the emerging markets.
Chairperson of ABACA, Juanita Cueto said the self-regulatory model allows the companies to supervise on their own. It also allows safeguarding the interests of the investors of cryptocurrency. The new rules are stringent to assess the integrity and ethics of the company eyeing to unveil Digital Asset Token offerings. Government agencies worldwide in nations like the US, Japan, Australia, Malaysia, and the EU imposes taxes and new rules on the crypto investors.