SEC tightens watch on crypto trade

The Securities and Exchange Commission (SEC) has issued new rules to regulate the marketing, issuance, and trading of crypto-assets, as well as the registration and operation of crypto-asset service providers (CASPs) in the country.

- BY JAMES A. LOYOLA

The Commission stated that these rules are designed to strike a balance between promoting innovative securities and technology-based ventures, while ensuring market integrity and investor protection.

On May 30, the Commission issued SEC Memorandum Circular Nos. 4 and 5, Series of 2025, which provide for the SEC rules on CASPs (CASP rules) and the SEC guidelines on the operations of CASPs (CASP guidelines), respectively.

The CASP rules define a crypto-asset as “a cryptographically secured digital representation of value or of a right that relies on a cryptographically secured distributed ledger or a similar technology to validate and secure transactions that can be transferred, stored, or traded electronically.”

Crypto-asset securities are defined as “crypto-assets that are being offered as securities, as defined under Republic Act (RA) No. 8799, or the Securities Regulation Code (SRC).”

Meanwhile, a CASP is “a business entity that offers or engages in the provision of one or more crypto-asset services, including the operation of a digital platform that provides such services.”

Both the rules and the guidelines apply to all CASPs that are offering crypto-asset services, as well as third-party service providers who engage in the marketing of crypto-assets and crypto-asset services.