TLDR
- Philippine SEC warns 10 unlicensed exchanges, including OKX, Bybit, Kraken, and others.
- Unauthorized crypto platforms face legal actions and possible app store bans.
- SEC calls for stricter regulations to protect Filipino investors from unregistered exchanges.
- Southeast Asia, including Thailand and Indonesia, tightens crypto exchange laws.
The Philippine Securities and Exchange Commission (SEC) has issued a formal warning to 10 prominent cryptocurrency exchanges. These platforms include OKX, Bybit, Kraken, and others, which have been operating in the country without the necessary licenses. The SEC’s action is in response to these exchanges failing to meet the country’s regulatory requirements under the new crypto laws, which took effect recently.
The SEC highlighted that these platforms have no authorization from the regulatory body to operate within the Philippines. The advisory noted that their actions expose Filipino investors to considerable risk. The SEC’s warning stresses the importance of adhering to local laws, which are designed to safeguard investors from unregulated digital asset platforms.
Crypto Exchanges Named in the Philippine SEC Advisory
In addition to OKX, Bybit, and Kraken, the Philippine SEC flagged other major exchanges, such as MEXC, Bitget, Phemex, CoinEx, BitMart, and Poloniex. The regulator emphasized that these platforms have continued to provide services to local users despite not having the required registration.
The SEC’s notice specified that these exchanges are violating the country’s Memorandum Circulars No. 4 and No. 5.
These circulars establish the guidelines for cryptocurrency operations and require exchanges to obtain proper registration. The SEC’s warning follows similar actions against Binance in 2024, when the platform was restricted for non-compliance.
Legal and Regulatory Action Expected
The Philippine SEC has made it clear that it will take legal actions against unlicensed exchanges. This may include cease-and-desist orders and criminal complaints. The regulator has also stated that it will work with major tech platforms like Google, Apple, and Meta to prevent these exchanges from marketing their services to Philippine users.
The SEC’s warning reflects the growing trend of stricter cryptocurrency regulations in Southeast Asia. Last year, the SEC moved to block Binance’s access to Filipino users after concerns about its unlicensed operations. The current crackdown signals the country’s commitment to ensuring that only registered and regulated platforms operate in the Philippines.
Southeast Asia Tightens Crypto Regulations
The Philippines is not the only Southeast Asian country taking action against unregistered exchanges. Both Thailand and Indonesia have introduced more stringent measures this year. In May, the Thai SEC ordered the blocking of five major crypto exchanges, including Bybit and OKX, for operating without the proper registration.
Similarly, Indonesia has raised taxes on foreign crypto platforms, increasing rates from 0.2% to 1% on trades involving offshore exchanges. These moves are part of a broader regional effort to regulate the growing cryptocurrency market and prevent financial crimes such as money laundering.
As these countries increase their regulatory scrutiny, the region is likely to see further actions against unlicensed crypto platforms. The Philippines’ SEC has made it clear that it will continue to monitor the situation and take appropriate action to protect Filipino investors.
