Regulation
Philippines to introduce crypto regulations in 2024, says SEC chairman
The Securities and Exchange Commission (SEC) of the Philippines plans to introduce a regulatory framework for cryptocurrencies in the second half of 2024.
According to a local reportSEC Chairman Emilio B. Aquino said the guidelines would aim to regulate cryptocurrency trading in the country while ensuring investor safety.
Aquino made the revelation while discussing the commission’s recent crackdown on unlicensed cryptocurrency service providers in the country. More recently, the regulator placed a to forbid on Binance for offering unregistered securities.
As part of the crackdown on Binance, the SEC has request Apple and Google to remove apps from the exchange from their respective stores. Citing the decision as the commission “just doing its job,” Aquino added:
“I hope it will be quick. We’ve already experienced this with lending apps. The response is quick. It’s up to them (Google and Apple) to decide.
Aquino acknowledged that some traders are trying to circumvent these restrictions by using “virtual private networks (VPNs),” allowing them to access Binance’s platform despite a ban.
“But no one can blame us,” he added.
Traders take advantage of VPNs circumventing regulatory restrictions is quite common in the crypto industry. Following the ban on several foreign cryptocurrency exchanges in India, users have been would have take this route to access their crypto accounts.
The SEC Chairman reiterated that all cryptocurrency trading platforms in the Philippines must obtain the necessary licenses to offer their services. This mandate is part of Republic Act No. 8799, also known as the Securities Regulatory Code (SRC).
He clarified that the recent measures are not intended to “target” any particular platform.
“They must obtain the required licenses because the intention is to be able to chase them to fulfill their obligations,” continued the president of the SEC.
He further cited the collapse of FTX, which resulted in billions of dollars in losses, and several investors were “burned”. Aquino added that the incident was a lesson for the Philippines, which cannot “go after people outside” its jurisdiction, unlike the United States.
As such, the country is looking to regulate the cryptocurrency sector.