Philippines Tightens Crypto Rules, Proposes 12-Month Freeze

The Philippines central bank is proposing a 12-month freeze on new payment system operators as it moves to tighten controls around digital payments and crypto businesses. 

The plan would also put stricter checks on payment arrangements involving regulated virtual asset firms, with stronger monitoring and transaction limits.

Philippines Wants to Pause New Payment Registrations

On 7 September, the Bangko Sentral ng Pilipinas (BSP) released the draft circular, saying the pause would give it time for a “holistic review” of its payment operator classification and licensing framework.

Under the proposal, the BSP would stop accepting and processing new Operator of Payment System (OPS) applications for 12 months. Applications submitted before the freeze could still be reviewed, but the regulator would not approve or reject them until the pause ends.

The draft also says businesses cannot begin activities requiring OPS registration during the freeze unless the BSP gives separate approval.

Crypto Payment Firms Face Stricter Checks

The primary driver behind this regulatory step is a structural push to reduce risks at the points where Virtual Asset Service Providers (VASPs) interact with traditional fiat banking rails.