The Philippine regulator tightens control over the listing of crypto assets: new rules for VASPs
The Central Bank of the Philippines (Bangko Sentral ng Pilipinas) has officially approved updated cryptocurrency listing rules for all licensed Virtual Asset Service Providers (VASPs). The key innovation is a direct ban on the addition and support of coins focused on enhanced privacy. This decision demonstrates the regulator's tightening stance on anonymous transactions and money laundering risks.
According to the new requirements, before including any digital asset in a listing, providers must conduct a multi-factor assessment across six critical areas. These include: verification of issuer data, assessment of the asset's market maturity, analysis of its real-world use cases, verification of code transparency and security, evaluation of liquidity and reserve adequacy, as well as strict compliance with local and international legislation.
In addition to the initial assessment, the regulator introduces an obligation for platforms to continuously monitor already listed assets. Exchanges must predefine and document clear criteria for suspending trading or delisting. This means that even after a successful listing, an asset may be removed if its risk profile changes or signs of non-compliance with new standards emerge.
My analysis: The Philippines continues to move along the path of tightening regulation, which is typical for many developing markets seeking to protect investors and maintain control over the financial system. The ban on privacy coins is not just a local measure but part of a global trend where regulators prioritize transparency over privacy. For licensed VASPs, this means a significant increase in operational burden and legal risks, which could lead to market consolidation and the exit of smaller players.