Philippines Initiates Plans To Dispense Government Bonds Through Blockchain-Based App

The Philippine Treasury Bureau, in collaboration with the Philippine Digital Asset Exchange and UnionBank, has entered efforts to develop a new blockchain-based mobile app to dispense government bonds. The move being labeled as the first issuance of treasury bonds to leverage UnionBank ‘s CEO, Edwin R. Bautista, on Blockchain technology, as reported by local press on 19 July.

Blockchain-based app to make investing in bonds straightforward

It is believed that up to 77% of citizens in the Philippines do not have access to a bank account. This implies that more than half of the population goes about their daily business without operating a bank account. This situation, in turn, led the Philippine treasury officials to further narrow the gap by launching a blockchain-based mobile app. The app provides an easy and convenient way to invest in their ventures in a larger section of the unbanked sector.

The National Treasurer of the Philippines, Rosalia V De, praised this move. Leon, who said the move would indeed help Philippine nationals to comfortably invest in retail treasury bonds without even having access to a bank account, especially the newest RTB-24.

The app would also allow people to easily invest up to a higher figure from as little as 5000 Philippine pesos ($100). Whereas, users of devices using internet payment services like Paypal and Gcash can now conveniently make immediate payments without unnecessary inconvenience.

Financial institutions embracing digital technology

Users can even pay for any banking and OTC services through wire transfer or online banking the UnionBank accounts. The app is equipped with additional features such as Ledger technology that aims to cut on both time and expenditures incurred during the verification and settlement process.

Mid last year, UnionBank launched the payment-focused Stablecoin, aiming to boost the country’s financial incorporation. Also, the coronavirus epidemic has further pushed the need for banking institutions to embrace the digital money and blockchain-based solutions due to the growing demand among the general public.