The Philippines has introduced new strict regulations for crypto-asset service providers (CASPs), marking a significant step toward a structured digital asset framework in the country. Under the newly enacted SEC guidelines, CASPs must register as local corporations with a minimum paid-up capital of ₱100 million (approximately $1.8 million). They are required to maintain physical offices, segregate customer assets from corporate funds, and regularly report operations to the SEC and the Anti-Money Laundering Council. The guidelines also mandate detailed asset disclosures and data storage practices, implying that external cloud hosting is discouraged. Experts predict that while these regulations may present short-term challenges, particularly for smaller firms, they ultimately lay the groundwork for mainstream crypto adoption in the Philippines. This regulatory framework addresses the growing unregulated crypto market, which Finance Secretary Ralph Recto estimates to be worth about $107 billion, impacting millions of Filipino investors. The new rules aim to improve investor protection and operational transparency in the rapidly evolving crypto landscape.

Source 🔗