The 7th largest bank in the Philippines, Aboitiz-led Union Bank, is ready to launch the country’s first bank-based cryptocurrency ATM, allowing people to purchase and sell digital units for cash.
Justo A. Ortiz, UnionBank Chairman, stated that the new ATM for virtual currencies would be located in the bank’s first fully digital branch, “The ARK,” in the city of Makati.
Here’s his statement:
We’re going to put up a Bitcoin ATM in our Ayala Ave. ARK [branch]. The machine is here already.
Virtual currency is virtual money, most often controlled and issued by its developers and used by a specific virtual community.
Bitcoin, Ripple, and Etherium are some of the most popular cryptocurrencies that aren’t regulated by any central bank or state. The only way to verify and secure transactions and control the creation of new digital units is through cryptography.
Currencies like these ones have rather fluctuating valuations, so they are often used as an investment. They can also be used for paying goods and services online.
Reportedly, the bank said the virtual currency ATM will allow the customers to use it to convert virtual currency into peso and vice versa.
The bank lender said that the purpose of launching this unconventional ATM is to serve the evolving needs of the customers, even if they involve digital units.
Mr. Ortiz adds:
That should be interesting. It’s not part of what you do on a daily basis, but it’s cheap now. Maybe it’s time put a few in your drawer.
Bangko Sentral ng Pilipinas regulates the usage and trading of Bitcoin and similar cryptocurrencies in the country which are legal.
Still, the use of privately-issued cryptocurrencies as a medium of exchange is not officially approved by the central bank, regarding its highly volatile and speculative nature, says Karl Angelo N. Vidal.