The Securities and Exchange Commission of the Philippines said it is working with Google to ensure the protection of the investing public from unlicensed crypto businesses.
SEC said Google would, by July 7, require all crypto exchange and crypto wallet advertisers to present proof that they are registered or licensed to operate in the Philippines should they wish to target the country.
Companies doing business in the Philippines must register with the SEC. In contrast, companies that operate cryptocurrency exchanges or wallets must register with the Bangko Sentral ng Pilipinas as a virtual assets service provider or VASP.
The SEC noted how scams pertaining to crypto have proliferated during the pandemic. “Over the course of the pandemic, the Commission has observed that several entities have taken advantage of the online space to spread investment scams supposedly engaged in cryptocurrency trading when in reality, these do not exist.”
Google’s policies for Cryptocurrency Exchanges and Wallets:
- Advertisers must obtain a certificate of authority as a Money Services Business from the Philippine Central Bank (BSP). Any other local legal requirements must also be complied with.
The SEC further noted that it has been consistent in reminding the public to be vigilant and exercise due diligence before transacting or dealing with any entity that are not registered locally.
In a previous op-ed, Commission Kelvin Lee stated that the SEC recognizes the innovation in cryptocurrency, but still warned the public to be very careful, especially with unlicensed entities.
“To be clear, I am not saying – nor is the SEC saying – that any particular innovation in this space is or is not a security/investment. The SEC is currently evaluating and studying many of these innovations/platforms in relation to applicable Philippine laws. The SEC is merely emphasizing that the public be careful when engaging in such activities.” Commissioner Lee wrote.
“This continuing partnership with Google will help the Commission fulfill its mandate
as registrar and overseer of the Philippine corporate sector, as well as protector of
the investing public, in the digital age,” SEC Chairperson Emilio B. Aquino said in a statement, noting that Google and SEC has been in discussions since May 2019, when they collaborated to counter the proliferation of unregistered personal loan apps in the country.
This article is published on BitPinas: SEC and Google Will Require Crypto Advertisers to Show License to Operate Locally
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