The Philippines Securities and Exchange Commission (SEC) has issued an advisory identifying 10 major cryptocurrency exchanges, including OKX, Bybit, KuCoin, Kraken, and others, for operating without proper authorization under the country’s updated crypto regulations.
Released on Monday, the advisory warned that these platforms continue to offer or promote crypto-related services to users in the Philippines without securing registration in compliance with SEC Memorandum Circulars No. 4 and No. 5, which came into effect on Tuesday.
“These platforms are not licensed, registered, or authorized by the SEC to operate within the Philippines or solicit investments from the public,” the notice stated. “Their unauthorized activities pose substantial risks to Filipino investors,” it added.
Additional platforms listed in the advisory include MEXC, Bitget, Phemex, CoinEx, BitMart, and Poloniex. The SEC noted that these exchanges remain accessible in the country, many of them actively marketing their services to local users.
More crypto violators expected, warns SEC
The SEC emphasized that the list of named platforms may not cover all violators, warning that any other entities offering similar crypto-related services without proper registration or approval are also in violation of Philippine securities laws.
According to the advisory, the regulations apply to “any person or entity that offers, promotes, or facilitates access to crypto-asset trading venues or intermediation services such as buying, selling, and derivatives trading of crypto-assets.”
The SEC stated it will take legal and regulatory action against non-compliant platforms, which may include cease and desist orders, as well as criminal complaints. It also plans to collaborate with major tech companies like Google, Apple, and Meta to curb unauthorized marketing and promotional efforts.
In a related move last year, the SEC urged Google and Apple to remove Binance’s app from their respective app stores for users in the Philippines, citing investor protection concerns. The regulator sent formal letters to both companies, requesting they block local access to Binance’s mobile applications.
Southeast Asia steps up enforcement against offshore crypto exchanges
The Philippines is not alone in cracking down on unregistered crypto platforms, as other Southeast Asian countries have also moved to tighten regulations on offshore exchanges operating without local approval.
In May, Thailand’s Securities and Exchange Commission (SEC) ordered internet providers to block access to five crypto exchanges, including Bybit and OKX, as part of a broader campaign against illegal platforms and money laundering. The regulator also urged investors to withdraw their assets from these platforms ahead of the shutdown.
Indonesia, meanwhile, has taken a stricter approach to taxation, significantly increasing crypto tax rates on foreign platforms. The income tax on domestic crypto transactions rose from 0.1% to 0.21%, while trades conducted through offshore exchanges now face a steep increase from 0.2% to 1%—a fivefold jump.
