How 2025 could transform Philippine cryptocurrency

From moratorium to momentum:

- By Pierce Oel A. Montalvo

THE PHILIPPINE cryptocurrency industry that emerges this year may look vastly different from the one that entered the central bank's moratorium.

Recall that last September 2022, the Bangko Sentral ng Pilipinas (BSP) halted registrations for new Virtual Asset Service Provider (VASP) licenses.

According to Section 902-N of the Manual of Regulations for Non-Bank Financial Institutions (MORNBFI), virtual assets (VAs) may refer to any type of digital-unit that can be digitally traded, or transferred, and can be used for payment or investment purposes.

Cryptocurrencies are treated as VAs exchanged through a VASP. As of May 2025, 13 companies hold VASP licenses.

But on May 30, the Securities and Exchange Commission (SEC) finally released their Crypto-Asset Service Provider (CASP) Rules and Guidelines, which aims to provide further regulations on cryptocurrency service providers and crypto-adjacent firms.

Meanwhile, the BSP moratorium for VASP licenses is set to expire in 2025.

These twin developments signal a pivotal moment, reshaping how crypto businesses operate, how investors are protected, and how innovation navigates a more defined regulatory landscape.

SEC'S NEW RULES

Cryptocurrency continues to grow in the Philippines. In an interview with Bloomberg TV last January, Finance Secretary Ralph G. Recto said that P6 trillion worth of crypto investments is being done in the Philippines.

However, the SEC has made moves in the past to regulate cryptocurrency firms. Last year, the commission requested the National Telecommunications Commission as well as the app markets of Google and Apple to block access to crypto exchange Binance, as the exchange failed to secure a license to solicit funds from the public or operate exchanges for securities.

The SEC's move into the crypto space is deliberate, aiming to address risks distinct from those overseen by the BSP.