Philippines SEC Blocks Access to 10 Crypto Exchanges Including OKX, Bybit, and KuCoin

The Philippines Securities and Exchange Commission (SEC) ordered a block on local access to 10 foreign cryptocurrency exchanges, including major platforms like OKX, Bybit, KuCoin, and Kraken, for operating without registration. According to Philstar Global, this action follows the agency’s updated rules on virtual asset service providers (VASPs), which took effect on July 5, 2025.

According to a public advisory issued on August 4, these platforms are not authorized to operate or solicit investments in the country. The SEC warned that continued use of these services exposes Filipino users to fraud, identity theft, and other financial risks. Legal and regulatory actions are underway.

What Led to the Block?

The SEC’s action stems from stricter guidelines under SEC Memorandum Circulars No. 4 and No. 5, which require VASPs to be fully registered before offering any kind of crypto asset services in the country. This includes:

• Customer due diligence (CDD)
• Suspicious transaction reporting
• Compliance with anti-money laundering (AML) rules
• Recordkeeping obligations

The agency stated that these requirements are in line with the Anti-Money Laundering Act and global standards set by the Financial Action Task Force (FATF).

The newly flagged exchanges are:

• OKX
• Bybit
• KuCoin
• Kraken
• Bitget
• MEXC
• Phemex
• CoinEx
• BitMart
• Poloniex

These platforms were found to be operating in the Philippines without proper licensing, with some even maintaining active marketing campaigns targeting local users.

Why the SEC Took Action

The SEC expressed concern that unregistered crypto exchanges:

• Operate outside the scope of Philippine law
• Do not provide users with legal recourse in case of loss or fraud
• Pose money laundering and terrorist financing risks
• Are not subject to local consumer protection measures

According to the SEC, these platforms are often used to move illicit funds across borders, posing reputational risks to the country. If unchecked, this may lead to the Philippines being “gray-listed” by FATF, affecting global financial relationships.

The Commission said it would not hesitate to issue cease and desist orders, criminal complaints, and request blocking of websites and mobile apps associated with unlicensed exchanges.

Regulatory History and Broader Impact

This is not the first time the SEC has cracked down on foreign crypto services. In March 2024, the agency blocked access to Binance, the world’s largest exchange by trading volume, for failing to obtain a license.

As with Binance, the SEC is now asking Apple, Google, and Meta to delist the mobile apps of unauthorized exchanges from Philippine digital storefronts.

Similar Moves in Southeast Asia

The Philippines is not alone in tightening crypto rules. Other countries in the region have taken similar steps:

• Thailand: Ordered local ISPs to block access to Bybit and OKX in May 2025.
• Indonesia: Raised crypto taxes and enforced licensing for foreign platforms.

This reflects a wider shift where Southeast Asian regulators are aligning with global AML and investor protection standards.

What Crypto Users in the Philippines Should Know

The SEC has reminded the public that any entity offering crypto services must be licensed in the country. Filipino investors should be cautious when engaging with platforms that lack proper documentation.

Key Guidelines from the SEC:

• Avoid investing through unregistered crypto-asset platforms
• Be wary of crypto promotions from influencers, creators, and mobile apps
• Check the licensing status of any platform via the SEC
• Report suspicious activity to:

1. [email protected] (Enforcement and Investor Protection Department)
2. [email protected] (Cyber and Forensics Division)
3. [email protected] (for CASP registration inquiries)

The SEC also said it may initiate motu proprio (self-started) investigations, meaning they can act even without a formal complaint if red flags appear.

Legal Consequences for Violators

Entities found violating the SEC’s crypto rules may face:

• Criminal prosecution
• Cease and desist orders
• Blocking of domains and apps
• Removal from search and app platforms

The SEC said the list of violators is not exhaustive, and other platforms offering similar services without registration are also under review.

Related Topics for Crypto Users

Understanding the following concepts can help crypto users in the Philippines stay compliant:

• Virtual Asset Service Provider (VASP): Any entity offering services like wallet custody, exchange trading, or crypto-to-fiat conversion
• Anti-Money Laundering (AML) compliance: Includes Know-Your-Customer (KYC), monitoring suspicious activity, and proper recordkeeping
• Cross-border regulation: Operating in a country without a license can lead to sanctions, access blocks, or global enforcement actions

By understanding how these apply, Filipino investors can better protect themselves and avoid legal trouble.

FAQs

1. Why did the Philippines SEC block these crypto exchanges?

   Because they were operating in the country without proper registration or licenses, putting Filipino investors at risk of fraud, money laundering, and loss of legal protection.

2. Can Filipinos still access OKX or Bybit?

   Local access may be restricted. The SEC is working with Apple, Google, and other tech companies to block app access and online services from these unregistered exchanges.

3. How can I check if a crypto exchange is licensed in the Philippines?

   You can email the SEC’s Crypto Asset Service Provider (CASP) department at [email protected] to request the licensing status of any platform.

Conclusion

The Philippines SEC is taking stronger measures to protect investors and align with international financial standards by blocking access to 10 major crypto exchanges operating without licenses. These platforms—including OKX, Bybit, and KuCoin—are considered a legal and financial risk due to their lack of registration and weak compliance with anti-money laundering and investor protection rules.

Crypto users in the Philippines are advised to stick to locally registered platforms and remain vigilant against unauthorized promotions. Regulatory scrutiny is expected to increase, especially for platforms targeting users without the required licenses.

Resources:

1. Philippines Securities and Exchange Commission (SEC) Notice: https://www.sec.gov.ph/wp-content/uploads/2025/08/2025Advisory-UnregisteredCryptoPlatforms.pdf

2. Philstar Global Report: https://www.philstar.com/business/2025/08/06/2463539/10-crypto-platforms-targeted-sec-crackdown-over-lack-registration

3. Indonesia Crypto Tax Hike Report: https://www.reuters.com/sustainability/boards-policy-regulation/indonesia-raise-tax-rate-crypto-transactions-2025-07-30/