Nestled within the glistening waters of the Pacific Ocean and adorned with verdant landscapes, the Philippines emerges as a Southeast Asian powerhouse, experiencing a rapid surge in its economy. In the wake of the global market failures in 2022, the country’s financial overseer, the Philippines Securities and Exchange Commission (SEC), adopted a measured and meticulous approach to crypto regulation, intertwining the dance of control and freedom.
Chairman Emilio Aquino of the Philippines SEC sheds light on the reasons behind the regulatory delay, revealing that the original plan to unveil the legal framework for cryptocurrencies in 2022 underwent revision.
This decision was prompted by the devastating collapse of the FTX exchange, which sent shockwaves throughout the global crypto community. Aquino emphasizes the SEC’s commitment to safeguarding investors, ensuring they are not exposed to undue risks. As a result, the crypto regulatory framework, a work in progress, may be released by the end of 2023.
Earlier this year, the SEC embarked on a unique collaboration with the University of the Philippines Law Center (UPLC), emphasizing the significance of academic insights in shaping guidelines for digital assets.
In January 2023, the Implementing Rules and Regulations of Republic Act No. 11765 were presented for public discourse, despite the act itself, signed into law in 2022, not explicitly mentioning terms such as “crypto” or blockchain.”
Despite the mounting pressure on the crypto industry in the Philippines and stern warnings issued by the country’s central bank and the SEC regarding unregistered or foreign crypto exchanges, the nation continues to attract digital currency enthusiasts. With over 11.6 million Filipinos proudly owning digital assets, the Philippines holds the 10th highest rate of crypto adoption globally.
From Manila’s vibrant streets to Palawan’s tranquil coastal havens, the Philippines is far more than an exotic destination. It deftly balances the scales of innovation and regulation, paving the way for a future where cryptocurrency can flourish within a regulated environment. The world watches intently as the Philippines navigates these intricate currents, ensuring the well-being of its citizens while embracing the promises of a digital economy.