Union Bank of the Philippines plans to offer mobile crypto trading by the latter part of 2023 after securing a certificate of authority from the Bangko Sentral ng Pilipinas to operate as a virtual asset service provider (VASP).
The bank became the first and only universal bank in the Philippines to offer virtual asset exchange services. With the full VASP license from the BSP, it can now extend virtual asset exchange services to a broader base of customers through UnionBank Online app.
These virtual asset exchange services previously were accessible only to randomly selected users of the app through a limited virtual asset license.
UnionBank president and chief executive Edwin Bautista said the milestone represents a significant leap forward for UnionBank as it continues to revolutionize the banking landscape.
“By obtaining this license, we are not only paving the way for even more groundbreaking opportunities, but also enhancing our digital capabilities and further transforming the way our customers interact with us,” he said.
The new feature, set to roll out gradually in the final quarter of 2023, will enable UnionBank customers to directly buy and sell Bitcoin (BTC) through the app, providing a convenient and secure platform for trading cryptocurrencies through a well-established and trusted financial institution.
This will also allow them to manage both traditional banking and digital assets within a single mobile platform.
“In this era where change is constant, our pursuit of this license isn’t just about staying current, but about being future-proof and future-ready. The financial landscape is evolving at an unprecedented pace, and we want to be at the forefront, ensuring that we are equipped to meet the evolving needs of our clients,” UnionBank senior vice president and head of emerging technology group Cathy Casas said.
The adoption of blockchain technology has been integral to UnionBank’s future-proofing strategy, and the bank has been actively exploring potential use cases, including cryptocurrencies, to adapt to evolving customer needs and financial trends.
The bank launched in 2019 the country’s first bank-operated, two-way virtual currency ATM located in its digital branch “The ARK” in Makati City, which allows users to buy and sell cryptocurrencies.
The initiative aligns with its “Tech-Up Pilipinas” advocacy aimed at advancing digital literacy among Filipinos and enhancing financial inclusion and technological empowerment in the country.