BSP extends ban on new ‘crypto’ licenses in Philippines

The Bangko Sentral ng Pilipinas (BSP), the Philippine central bank, has extended its moratorium on granting new licenses for virtual asset service providers (VASPs), maintaining a freeze that was first introduced in 2022. The regulator said the decision reflects on concerns about consumer protection, financial integrity, and cybercrime risks.

In a memorandum dated August 20, the BSP confirmed that the moratorium will be in effect on September 1, subject to reassessment based on both local and global developments. Earlier, the BSP had acknowledged the growing role of blockchain and digital platforms in finance but concluded that the risks continue to outweigh the benefits of opening licensing further.

The moratorium does not completely close the door to regulated financial institutions. The BSP previously clarified that banks and institutions with “stable” ratings under its Supervisory Assessment Framework may still apply for VASP licenses, provided they meet stringent requirements.

Public advisory against unlicensed operators

Alongside the moratorium, the BSP issued a public advisory on August 29, reminding Filipinos to remain cautious in dealing with digital assets and service providers.

“The Bangko Sentral ng Pilipinas (BSP) reminds the public to exercise caution, conduct due diligence, and refrain from transacting with unlicensed/unauthorized virtual asset service providers (VASPs),” the advisory stated.

The BSP defined VASPs as entities that facilitate the exchange or transfer of virtual assets. It also clarified that “[virtual assets] refer to any digital representation of value that can be digitally traded, transferred, or used for payment.”

To avoid scams and unlawful dealings, the BSP advised the public to verify whether a company is officially registered. “To verify the registration status of a VASP, refer to the official list of BSP-registered VASPs on the BSP website,” it said.

Reporting suspicious activities

The advisory underscored the BSP’s stance that consumer safety is the foremost priority. “The extension of the moratorium considers the heightened risks associated with VAs and underscores the BSP’s commitment to protect consumers and uphold the stability and integrity of the financial system,” the statement noted.

Current licensed VASPs

As of May 15, 2025, there are nine active VASPs registered under the BSP. These include: Betur Inc. (operating as Coins.ph), Bloomsolutions, Inc., Direct Agent 5 (also known as SurgePay mobile app), Maya Philippines, Inc., Moneybees Forex Corp., Philippine Digital Asset Exchange (PDAX), TopJuan Technologies Corporation, XenRemit, Inc., Union Bank of the Philippines, Inc.

Two banks, UnionBank and GoTyme Bank, are recognized as active VASPs, highlighting how established institutions continue to play a role in the sector. Meanwhile, some firms such as ABA Global Philippines (Coex Star), WIBS PHP, Inc., and Zybi Tech, Inc. (JuanCash) are listed as inactive or not operational.

SEC tightens oversight on digital currency promotions

The BSP’s move comes just months after the Securities and Exchange Commission (SEC) rolled out its own rules for digital currency-related services. On May 30, 2025, the SEC finalized its Crypto Asset Service Provider (CASP) framework, which took effect on July 5.

The framework expanded the definition of “marketing” to cover most public-facing communications, including social media posts, airdrops, events, and advertisements. The SEC said these measures aim to address misleading promotions, scams, and improper disclosure practices within the digital currency space. In a discussion, SEC Assistant Director Paolo Ong emphasized that the new rules primarily apply to licensed platforms, with additional regulations to follow for financial advisory services.

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