Remember MintChip? Filipino Congressman drafts bill for e-Peso, a digital legal tender inspired by Bitcoin
Cryptocoins News reports that a member of the Filipino House of Representatives, Kimi Cojuangco, has proposed a draft bill for an e-Peso, a purely digital form of the country's currency.
The concept is reminiscent of MintChip, a project undertaken by the Royal Canadian Mint to digitize the Canadian dollar into a cryptographic, p2p currency. It would have the advantages of behaving as personal, digital cash, without the need for intermediaries such as banks and credit card companies. Yet, it is 100% legal tender. The project was slated for divestiture earlier this year, its fate uncertain.
On the existing financial system, Cojuangco commented:
"What exists is a patchwork of methods using traditional credit systems, which act in place of money on the Internet. The E-peso is the electronic equivalent to the paper peso."
According to the proposal, the country's central bank would research Bitcoin technology. It would then "choose a system that uses peer to peer processing of the log chain and shall exert its utmost to Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term existing hardware being used by the other leading Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term such as bitcoin."
An amount of the currency equal to one percent of the total pesos in circulation would be released within one year. No more than 1 million peso ($22,200) worth of the digital money would be in circulation during the first two years.
It is safe to argue that the successful fruition of such a plan is fraught with multiple logistical challenges, as experienced during Canada's trial.
One can also debate if the advent of such a digital currency will have a meaningful impact in a country where the value of Bitcoin's transferability is felt tangibly. Bitcoin is reportedly making the country's high volume remittance market more cost-effective. An e-Peso, while convenient, may not be capable of getting around the complications of foreign currency exchange.
Cryptocoins News reports that a member of the Filipino House of Representatives, Kimi Cojuangco, has proposed a draft bill for an e-Peso, a purely digital form of the country's currency.
The concept is reminiscent of MintChip, a project undertaken by the Royal Canadian Mint to digitize the Canadian dollar into a cryptographic, p2p currency. It would have the advantages of behaving as personal, digital cash, without the need for intermediaries such as banks and credit card companies. Yet, it is 100% legal tender. The project was slated for divestiture earlier this year, its fate uncertain.
On the existing financial system, Cojuangco commented:
"What exists is a patchwork of methods using traditional credit systems, which act in place of money on the Internet. The E-peso is the electronic equivalent to the paper peso."
According to the proposal, the country's central bank would research Bitcoin technology. It would then "choose a system that uses peer to peer processing of the log chain and shall exert its utmost to Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term existing hardware being used by the other leading Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term such as bitcoin."
An amount of the currency equal to one percent of the total pesos in circulation would be released within one year. No more than 1 million peso ($22,200) worth of the digital money would be in circulation during the first two years.
It is safe to argue that the successful fruition of such a plan is fraught with multiple logistical challenges, as experienced during Canada's trial.
One can also debate if the advent of such a digital currency will have a meaningful impact in a country where the value of Bitcoin's transferability is felt tangibly. Bitcoin is reportedly making the country's high volume remittance market more cost-effective. An e-Peso, while convenient, may not be capable of getting around the complications of foreign currency exchange.