Philippine Banks Launch PHPX: A Game-Changer for Global Filipinos!

The upcoming launch of PHPX, a peso-backed stablecoin supported by major Philippine banks, is creating a buzz in the Filipino expatriate community. As remittance remains a cornerstone of the Philippine economy, PHPX promises to make cross-border payments easier and more affordable. Set to launch between May and July, this digital currency could drastically change how Overseas Filipino Workers (OFWs) send money home.

This is worth knowing more about. Read on.

The Lifeblood of the Philippine Economy

A World Bank report shows that OFWs send nearly $40 billion back to the Philippines each year, making up a large part of the country’s economy. However, sending money back home can be expensive and inconvenient, especially when making real-time payments, such as paying tuition fees for a child. Once PHPX is launched, OFWs will be able to make direct payments to the Philippines for essential services in real time, no matter where they are, even from places like the United States.

Key Players Driving the PHPX Initiative

The ambitious concept of PHPX has been materialised with the support of several prominent Philippines banks including UnionBank, Rizal Commercial Banking, Cantilan Bank, and the Rural Bank of Guinobatan. 

Reports reveal that the stablecoin will be governed jointly by the banks which support the project. 

Built on a Secure Foundation: Hedera’s Role

PHPX will run on the Hedera network, a secure and permissioned blockchain platform. This ensures it meets the Basel Committee’s low-risk crypto-asset requirements. Reports also suggest that a multicurrency exchange will allow PHPX to be swapped with other currencies like USD, SGD, and JPY, with liquidity support from providers.

• Also Read :
•   UK Government Clarifies Crypto Staking Regulations: What You Should Know
• ,

While improving remittance options is a key goal, PHPX has plans to expand its use. It could eventually be used for domestic retail and point-of-sale transactions. This shows the broader aim of making financial services more accessible, affordable, and efficient for Filipinos, both locally and abroad.