Crypto Crackdown: SEC Philippines Gives 3-Month Deadline To Register or Face Ban
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The Philippine Securities and Exchange Commission (SEC) has addressed concerns regarding its previous advisory stating that unregistered platforms would face a ban in three months. Speaking at a panel on educating consumers about unregistered exchanges, Kelvin Lee, head of the financial regulator, clarified that institutions without proper registration have a three-month grace period before a ban is enforced. The authorities advise users to be cautious, reminding them to utilize registered platforms that have obtained regulatory approval to ensure security.
Effective Ban Timeline and Possible Extensions
Lee explained that the ban would take effect three months from the issuance date, which was November 29. While acknowledging the possibility of extending the deadline based on feedback, he focused on the importance of the current three-month period. Lee revealed that the initial recommendation suggested a one-month grace period but was eventually extended to three months.
The SEC’s move aims to clarify the status of platforms like Binance, especially after the exchange admitted to operating without a license in the country. Lee noted that the three-month timeline benefits all parties involved, providing local investors with stability while allowing platforms time to seek regulatory approval.
Consideration for Investors During the Christmas Season
Talking about the upcoming Christmas season, Lee highlighted the decision to avoid making things difficult for Filipino investors during the transition phase. The SEC’s approach aligns with global counterparts, emphasizing the need for fully compliant measures for virtual asset service providers to protect investors in the country.
The SEC in the Philippines recently warned users about Binance operating without the required license, along with cautionary notes to other firms like OCTAFX and My Trade. Commissioner Lee dismissed claims by some firms that they don’t operate in the country, asserting that these platforms target Filipino investors online. The SEC encourages users to invest in the 17 registered platforms in the country, emphasizing the upcoming release of new regulations for digital assets through a small group of experts’ deliberation, rather than a public consultation.
Filed under: Bitcoin - @ December 15, 2023 2:09 am