Will cryptocurrency exchanges in the Philippines become just like any other “trading platforms?” It’s looking like the answer to this question is, yes.

Regulators in the Philippines will disclose draft cryptocurrency regulation this month, according to a report from The Manila Times.

According to Ephyro Luis Amatong, chairman of the country’s Securities and Exchange Commission (SEC), the SEC needs to regulate Initial Coin Offerings (ICO), their issuers and the trading platforms.

The SEC is currently finalizing rules regarding ICOs and crowdfunding which will require businesses looking to conduct ICOs to register as a corporation. International issuers of ICOs will also need to adhere to these rules and establish themselves in the Philippines.

The Philippines was an early adopter of cryptocurrency and has been said to “pioneer regulation.” In 2016, Deputy Director and Head of the Core Information Technology Specialist Group (CITSG) Melchor Plabasan said: “if you want something that is fast, near real-time and convenient then there’s the benefit of using virtual currencies like bitcoin.” In early 2017 the Philippines was one of the first countries to implement formal regulations for crypto exchanges.

The Philippine SEC has been working with the Bangko Sentral ng Pilipinas (BSP) – the country’s central bank to outline mandatory guidelines for operators where certified exchanges were recognized as remittance and money-transfer firms. Amatong said to the Manila Times, “we already discussed the matter with the BSP since the BSP is also interested and we are also interested. The discussion … [involves] joint cooperative oversight over VCEs engaged in trading.”

Why are the Philippine’s regulating cryptocurrency exchanges?

For one, license fees could equate to millions of dollars in revenue for the Philippine government. Cagayan Special Economic Zone and Freeport - the authority that governs the Philippines, also referred to as the CEZA- charges $360,000 for a principal license and $85,000 for a regular one. Given these costs, the government is hoping that these issuances will bring in $67 million.