Remittances from Japan may be cheaper using digital coins: advocate

Cathy Yang, ABS-CBN News

Posted at Mar 05 2018 11:04 AM | Updated as of Mar 05 2018 06:41 PM

People walk through a street in Tokyo's Shinjuku district, Japan, September 29, 2016. Toru Hanai, Reuters/File Photo

TOKYO - A Filipino-Japanese partnership promises to cut remittance costs for Filipinos in Japan, as part of an ambitious project based on a cryptocurrency called Noah Coin, one of its advocates said.

Filipinos in Japan will soon be able to remit money using an electronic wallet provided by Filipino firm Satoshi Citadel Industries, according to the Noah Coin website.

This will cut remittance costs for a P10,000 money transfer to 2 to 3 percent, from 10 percent.

"Noah Coin can make that happen, meaning to simplify the process. I thought that's something to be supported," cryptocurrency evangelist Tadashi Izumi said in an exclusive interview with ANC's The Boss on Sunday.

Cryptocurrency evangelist Tadashi Izumi speaks to Cathy Yang for ANC's The Boss

Noah Coins were sold in an initial offering last month. According to its website, it can be used as currency at Dakak beach resort in the southern Philippines while the remittance component will be operational by the third quarter.

The cryptocurrency is envisioned for use in a Manila Bay development called Noah City by 2023, according to the website.

Filipino regulators have urged the public to be cautious when using crytocurrencies, citing volatile swings in its value.

At least one lender, UnionBank, said it would use the blockchain platform for bitcoins and other cryptocurrencies, for its payment system.

UnionBank partnered with Visa for its B2B Connect service that promises to cut transaction costs.

Izumi said the $530-million hack on Japanese exchange Coincheck was a "wake up call" for cryptocurrency stakeholders to be more careful.

"Japanese regulators put in place regulations of their own with the aim to protect consumer," he said.

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