Binance Faces Licensing Challenges in the Philippines Market
- The Bangko Sentral ng Pilipinas confirmed that neither Binance nor its partner, BlockShoals Technologies Inc., has the required license to operate as a virtual asset service provider (VASP).
- In November, BlockShoals received initial clearance under the SEC’s sandbox framework, but participation does not exempt them from central bank licensing.
- The SEC has mandated that BlockShoals must integrate with a licensed domestic VASP within 90 days before onboarding users through Binance infrastructure.
- In previous years, Binance was ordered to cease operations in the Philippines for lacking a proper license.
- The central bank clarified that approval from the SEC and participation in the sandbox are independent processes.
Binance’s attempts to re-enter the Philippine market face significant regulatory hurdles as it lacks essential licensing from both the central bank and SEC. The requirement for BlockShoals to connect with an existing licensed VASP underscores stringent compliance expectations for crypto operations in the country.
As of now, Binance remains unable to operate legally in the Philippines due to these licensing issues, emphasizing ongoing regulatory scrutiny in this region. (Source)
