A CRYPTOCURRENCY owned by Luis “Chavit” Singson’s LCS Group of Companies is set to be launched early next year as part of efforts to push more Filipinos to transact and pay through digital means.
Dubbed as Gold Chavit Coin (GCC), the virtual currency set to be launched next year marks the company’s foray into the financial technology industry.
In a statement yesterday, LCS said it will list GCC in local cryptocurrency exchanges where it can be traded using fiat money or other virtual currencies.
“Many Filipinos still have no access to a bank account, which prevents them from saving for their future and participating in basic financial transactions such as simple payments,” Mr. Singson was quoted as saying in the statement. “GCC aims to change all that by offering [an] ubiquitous currency that they can use for nearly all types of transactions, both in the country and abroad.”
GCC will be based on ERC-20 standards used in the Etherium blockchain network.
Cryptocurrencies such as Bitcoin, Etherium and Ripple are virtual currencies not regulated by any state or central bank. They rely on cryptography to secure and verify transactions as well as control the creation of more units.
Cryptocurrencies are based on distributed ledgers called blockchain, which involves a large network of entities where data is stored in “blocks.” The storage units are continuously updated and being secured using cryptography, making data management and data-driven processes decentralized, tamper-proof and more transparent.
Virtual currencies can also be used to pay for goods through internet, and can be treated as investments given their fluctuating valuations.
Mr. Singson said a mobile application is being developed alongside GCC for bill payments and online and in-store purchases with affiliate retailers and banks, beginning with transactions among LCS Group of Companies.
“We plan to leverage the entire LCS network, in addition to partnerships with other vendors and firms, to drive mass adoption, which in turn will increase GCC’s market value,” Mr. Singson added.
The mobile application is being developed with Billion System Corp., the Japanese fintech company behind the PayB payment app.
“Blockchain in the Philippines remains in its infancy, but it has tremendous disruptive potential that can help not only individuals, but also the economy as a whole by further expanding e-commerce access in the country,” Mr. Singson added. — K.A.N. Vidal