Philippines Implements Strict Rules for Crypto Asset Service Providers to Protect Investors
The Securities and Exchange Commission of the Philippines (SEC) has officially issued new regulations requiring crypto asset service providers (CASP) to register and obtain a license before operating in the country. These rules were enacted following a surge in digital asset activity and a rise in fraud cases from unregistered platforms.
CASP must be a legal entity in the Philippines with a minimum capital of 100 million pesos or approximately US$1.8 million, and they are required to separate customer funds from company funds to protect investor assets.
In addition to capital and registration requirements, CASP is also required to submit a business plan, risk matrix, and other supporting documents to obtain approval.
These rules also strictly regulate the marketing of crypto products, including a ban on promotions without SEC permission, except for transparent educational activities that do not coerce investment in specific platforms.
This step aims to protect Filipino investors from fraud risks and enhance trust in the digital asset market, while also promoting regulated and sustainable innovation in the national crypto sector.
