Latest news with #cryptoassets
Coin Geek
12 hours ago
- Business
- Coin Geek
Philippines to implement ‘crypto' tax framework by 2028
Getting your Trinity Audio player ready... The Philippine government has committed to adopt an international reporting framework for digital currency assets by 2028, aligning with global efforts to curb cross-border tax evasion and illicit financial flows. The move underscores the country's Department of Finance's (DoF) push to strengthen fiscal transparency as digital currencies become more mainstream in the country. 'We need faster and stronger systems for collaboration if we are to beat tax evasion and illicit transactions,' Ralph Recto, Finance Secretary, said in a statement. 'The government must ensure that crypto-asset users are paying their fair share of taxes and that no illicit financial activity goes unpunished.' Joining 67 jurisdictions in global tax transparency initiative Source: Department of Finance/Facebook During the 8th Asia Initiative Meeting held in Malé, Maldives, Finance Undersecretary Charlito Martin Mendoza formalized the country's commitment to adopt the Crypto-Asset Reporting Framework (CARF), developed by the Organisation for Economic Co-operation and Development (OECD). The CARF is designed to standardize the automatic exchange of tax information on crypto-assets across jurisdictions. The framework ensures that individuals and entities engaging in cross-border digital asset transactions cannot hide income or gains from tax authorities. The Philippines joins 67 jurisdictions, 10 of which are in Asia, that have pledged to implement the CARF by either 2027 or 2028. The timing of the country's commitment aligns with the end of President Ferdinand Marcos Jr.'s six-year term, during which fiscal discipline and transparency have been recurring themes. 'This is a timely commitment as digital currency becomes one of the preferred means for transactions,' Recto noted. Digital currency growth and risks in the Philippines Recto previously stated that Filipinos have invested an estimated PHP6 trillion ($107 billion) in digital currencies, more than double the combined size of the country's business process outsourcing and offshore gaming sectors. 'In the Philippines, a lot of Filipinos have already invested in crypto. Something like 6 trillion pesos worth of investments in crypto is being done,' Recto told Bloomberg in an interview earlier this year. He attributed this growth to a tech-savvy, youthful population and the widespread use of digital wallets, noting that 90 million Filipinos now use such tools to save, invest, and transact. However, third-party data paints a more measured picture. Blockchain analytics firm Chainalysis estimated the Philippines' 2024 crypto flows at $43.1 billion, down from $66 billion in 2023. The firm attributed the apparent 40% drop to revised methodologies for tracking decentralized finance (DeFi) activity. Despite the discrepancy, the numbers underscore the importance of tax authorities keeping pace with the rapid adoption of digital currencies. The decentralized and borderless nature of digital assets presents challenges for enforcement and taxation. Boosting exchange of information ahead of CARF rollout The DOF also reported on parallel efforts to improve tax transparency and compliance mechanisms. At the Asia Initiative Meeting, the department shared the country's progress in adopting the Convention on Mutual Administrative Assistance in Tax Matters (MAAC), a multilateral tool for tax assessment and collection cooperation. It also outlined the steps taken to prepare for the Enhanced Monitoring Process, the strengthening of the Exchange of Information (EOI) on request, and the adoption of the Common Reporting Standards (CRS). The Asia Initiative aims to enhance international cooperation on tax transparency and combating illicit financial flows. The Philippines became a member in 2023 and has since been working to align with globally agreed-upon standards. The meeting also marked the launch of the 2025 Tax Transparency in Asia Report, which details regional progress made in applying tax transparency frameworks throughout 2024. Globally, efforts in tax transparency have proven effective. From 2009 to 2024, at least €24 billion ($27 billion) in additional revenue has been identified through EOI, offshore investigations, AEOI (Automatic Exchange of Financial Account Information), and related disclosure programs. In 2024 alone, €1.9 billion ($2 billion) in undeclared income was identified through these means. Raising revenue without tax hikes The CARF commitment comes as the Marcos administration reiterates its intention not to introduce new taxes. Instead, it aims to increase state revenue through improved collection and enforcement. This policy direction already has been bearing results, according to the government agency. In April 2024, revenue collection reached PHP522.1 billion ($9 billion), bringing the total for the first four months to PHP1.5 trillion($26 billion). Of this, 94% came from taxes, thanks to an 11.49% increase in tax revenues. The DOF says the digital currency framework complements these efforts by plugging gaps in areas where tax evasion risks are highest. Watch: The Philippines is moving toward blockchain-enabled tech title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen="">
Yahoo
15 hours ago
- Business
- Yahoo
UK to Propose Restrictions on How Banks Can Deal With Crypto Next Year
The Bank of England plans to introduce new proposals on banks' exposure to crypto by 2026 to protect financial stability, a key official said Wednesday. The U.K. is looking to formulate rules that are more on the restrictive side, said David Bailey, the executive director of prudential policy at the Bank of England, in a speech at Risk Live Europe in London. Bailey suggested the country is likely to encourage banks to have a low exposure to crypto. "There are also examples where it might be more appropriate to start more towards the restrictive end of the spectrum, while evidence is gathered to see if standards can be relaxed over time," Bailey said. "The prudential treatment of banks' exposures to cryptoassets, and specifically those with features associated with heightened price volatility and where investors could lose the entirety of their investment, is an example in this space." The nation is seeking to implement the Basel Committee on Banking Supervision's disclosure framework for banks' exposure to crypto. This framework must be put in place by the start of 2026 to help nations evaluate risks, the committee said. The Committee also proposed rules that banks should limit exposure to crypto like bitcoin to 1%. The U.K.'s plans will be "informed" by the standards developed by the Basel Committee, Bailey said. Nations have been looking to ensure they can maintain financial stability despite crypto volatility by monitoring how interlinked banks are to crypto, especially following the 2023 collapses of Silicon Valley Bank and Silvergate Bank which both had crypto clients. The U.K.'s prudential crypto rules will come at a time where the country's other financial regulator — the Financial Conduct Authority — is set to implement a new regime for in to access your portfolio
Daily Mail
2 days ago
- Business
- Daily Mail
EXCLUSIVE Crypto firm Ziglu stops trading and tells customers to withdraw funds immediately
Customers who invested their cash with platform Ziglu have been told to withdraw their funds immediately, after the FCA said it had to cease trading, This Is Money can reveal. Ziglu said it had signed a 'voluntary undertaking' with the Financial Conduct Authority, which means it will have to stop all regulated activity and registered businesses. It will not be able to issue electronic money, or act as a cryptoasset exchange provider or custodian wallet provider. In an email seen by This Is Money, Ziglu told customers that they would not need to 'withdraw all funds from the platform immediately and no later than 25 June 2025.' It also means that Ziglu cannot accept the deposit of any new funds and is unable to provide the purchase of any additional crypto assets. Mark Hipperson, chief executive, told customers: 'Crypto assets can be converted to a fiat asset and withdrawn, and if fiat funds are held in a different currency to the one required to enable you to withdraw your funds you can exchange the currency to enable you to withdraw. 'Our customer support teams are available to assist with any inquiries, concerns, or issues you may have in respect of the cessation of activities. 'You can reach us through our regular customer service channels, which remain fully operational. 'Our online and mobile platforms will remain open until 25 June 2025 and we strongly encourage you to log in, withdraw your funds and download statements that you may require before the expiry of that deadline.' This Is Money previously revealed customers who invested their cash in Ziglu's 'Boost' accounts had their accounts frozen on 16 May and a week later, said it would be closing the products. The accounts allow customers to invest cryptoassets (both stablecoins and crypto) to generate a yield. Ziglu partners with lending platforms that lend the coin to institutional investors like hedge funds. The platform froze its Boost accounts on 16 May and informed its customers on 23 May that it would be closing the products. These products remain frozen, according to the platform's latest update. While Ziglu is regulated by the FCA, Boost accounts are not and are not subject to the same safeguarding as any funds held in their cash accounts. Customers are not protected by the Financial Services Compensation Scheme or Financial Ombudsman Service. This latest update comes just months after Ziglu announced it had raised £5million earlier this year, with plans to introduce 'Ziglu Coin'. Ziglu and the FCA did not respond to requests for comment.
Reuters
4 days ago
- Business
- Reuters
The wobbly foundations of the stablecoin boom: podcast
Follow on Apple or Spotify. Listen on the Reuters app. US lawmakers endorsed digital tokens backed by dollars like Tether and USDC, collectively worth $250 bln. In this episode of The Big View podcast, banks analyst and author Dan Davies explains the risks of mingling supposedly solid crypto assets with the regulated banking system. (The host is a Reuters Breakingviews columnist. The opinions expressed are his own.) Further Reading Circle IPO tethers rival to an unhinged valuation The bitcoin hoarder copycat game is just beginning Why stablecoins will entrench dollar's supremacy Visit the Thomson Reuters Privacy Statement for information on our privacy and data protection practices. You may also visit to opt-out of targeted advertising.
Bloomberg
12-06-2025
- Business
- Bloomberg
Crypto Nearing ‘Tipping Point' Toward Systemic Risk, FSB's Knot Says
Risk emanating from cryptoassets could soon become a serious threat to the financial system, according to outgoing Financial Stability Board Chair Klaas Knot. 'At the FSB, we have long maintained that crypto does not yet pose a systemic risk, but recent developments suggest we may be approaching a tipping point,' he said in Madrid on Thursday.
