Philippines Crypto Payment Rules Face Major Changes With 12-Month Operator Freeze

The Philippines' crypto payment rules may pause new operator registrations for 12 months. Meanwhile, regulators plan stronger controls for crypto-related payment services. The Bangko Sentral ng Pilipinas (BSP) has proposed a 12-month suspension. The pause will apply to new Operator of Payment System (OPS) registrations. The central bank is also considering revising its licensing regime and classification system. Philippines Plans Stricter Controls for Crypto Payment Services The draft rules impose new requirements on regulated institutions. These rules would apply when institutions serve virtual asset businesses through merchant acquiring services. For instance, covered institutions would be required to have direct agreements with virtual asset service providers. They would also have to improve their customer verification systems before offering payment services. On the other hand, institutions would have to do more due diligence. They would also have to monitor transactions with these businesses on a regular basis. Related reading: Binance Launches in Philippines via BlockShoals Furthermore, appropriate limits on transactions and settlements are proposed. These controls would enable institutions to better control risks associated with payment activity involving crypto assets. The proposed 12-month freeze would impact new OPS applications. The BSP would carry out a comprehensive review of its licensing regime during this time. Applications submitted before the suspension would still be considered. The draft reads that the final decisions would be made after the suspension period has ended. As a result, it may take longer for the applicant to receive approval. The proposed pause may also afford the BSP time to review the criteria of payment operators. The BSP has invited comments on the proposed changes in the regulations. The rules, if adopted, would take effect 15 days after official publication. New BSP Rules Could Increase Crypto Payment Oversight The proposed controls apply to virtual asset service providers regulated by a regulator. These businesses need approval from the BSP, Philippine SEC, or another authority. Additionally, the draft categorizes VASPs as one of the higher-risk business categories. Other sectors listed include gambling, gaming, adult businesses, and money service businesses. The method is aligned with the increasing focus by regulators on payment risks associated with digital assets. Stronger monitoring could help identify unusual transactions more quickly. Meanwhile, the Philippines has already taken action against several unregistered crypto platforms . The Philippine Securities and Exchange Commission (SEC) in April 2026 cautioned investors on a number of platforms. The warning mentioned dYdX, Pacifica, Aevo, Ostium, Orderly, Deriv, and gTrade. The SEC said these sites were not registered or authorized. Consequently, the Filipino investors were warned against using these platforms. The action highlighted the regulator's shift in focus to unlicensed crypto services. The BSP's current proposal is a different one, as it focuses on payment channels. Instead of focusing only on exchanges, it addresses institutions supporting virtual asset businesses. In addition, transaction limits may limit risks associated with large or unusual transaction flows. Improved monitoring may also help to reinforce compliance throughout the interconnected financial services. However, the proposal remains subject to the public feedback process. Some requirements may be modified prior to the final rules being published. The framework, if approved, could have a major impact on the way crypto businesses can obtain payment services. It may also impose additional compliance requirements on regulated financial institutions. Source: https://www.livebitcoinnews.com/philippines-crypto-payment-rules-face-major-changes-with-12-month-operator-freeze/