Cryptocurrencies undergoing 'growing pains': tech startup

ABS-CBN News

Posted at Jan 29 2018 12:06 PM

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MANILA - Cryptocurrencies are volatile due to "growing pains" but offer a lot of potential to make financial transactions cheaper and easier, a technology startup founder said Monday.

Bloom Solutions can reduce remittance costs by as much as half and transactions can be completed in seconds, its founder, Luis Beunaventura, told ANC's Early Edition.

"There are some early stage growing pains that the industry is undergoing and I don’t think we are completely out of the woods just yet," Buenaventura said.

Buenaventura advised investors to proceed with caution on cryptocurrencies and limit their exposure to the asset at 1 percent.

"Blockchain just gives us options and new tools that we can apply to these old problems. There’s a lot of potential here, but there’s still a lot of work to be done as well," he said, referring to the technology used to trade digital currencies.

Some 2 to 5 percent of money remittances in the Philippines are made using cryptocurrencies, Buenaventura said. Monthly cryptocurrency trading volumes have the potential to reach
$80 to $100 million, he said.