Asian economies have exhibited huge economic growth along with emergence of bitcoins, potential startups and other investments. Among these countries is a country composed of thousand islands, the Philippines, a country that is second to China when it comes to growth in region. A few years back, many agreed that there could be nothing when it comes to a startup in the country but with the recent changes, it appears that a lot of experts would agree that bitcoin business in the country exudes huge potential. It has become a growing hot scene for the bitcoin platform.
Along with the positive outlook for bitcoin in the country, some might ask as to why with the countries problems, how does it manage to be at the front in terms of bitcoin? There are now entrepreneurs eyeing the country and checking out the progress and development in cryptocurrency. Even Nick Sullivan of ChangeTip from Silicon Valley is also regularly visiting the country. What makes the Philippines a viable location for bitcoin trade can be attributed to the fact that first, it ranks 3rd when it comes to receiving money from overseas workers alongside India and China. In 2013 alone, the country received $22 billion worth of remittances. And according to the founder of the Coins.ph, this figure further escalates taking into consideration the internal remittance activities where people send and receive money. Including these transactions, $50 to $70 billion adds up to the amount of remittances.
With billions of dollars pouring into the system, companies in the money transmitting business also get to earn a lot from this thriving business. With high transaction costs, bitcoin companies find it really lucrative. This is where the competitive advantage of bitcoin comes in. With bitcoin being an open source platform, it is widely used and preferred among many as it offers significantly lower transaction fees compare to other payment platforms.
Apart from huge remittances, the country also exhibits strong level of social interactions as it is considered to be one of the most active when it comes to the use of social media platform
Getting Opportunities from the Unbanked
With the majority of the popularity getting a few thousand pesos, majority of people are unbanked and it can be expensive on the part of the bank to enroll customers given the current amount. The co-founder of BuyBitcoin.ph, Sam Kaddoura, says that for those who do not want to experience any hassle in opening bank accounts and submit the necessary requirements for credit cards would definitely go for bitcoins.
Great Bitcoin Opportunities
Addressing the unbanked in addition to the fact that the country has a lot of remittance transactions and financial activities going on, bitcoins offer faster, more convenient and more cost effective solution when it comes to the platform that will be used. Instead of having to shoulder 10% cost of transaction fees, bitcoins enable consumers and merchants to get access to cheaper solution that is also efficient.