Philippines SEC Crypto Blacklist: What the 2025 Exchange Crackdown Means for Traders

Key Takeaways

• The Philippines SEC issued two rounds of blacklists in 2025, flagging fifteen major crypto exchanges for operating without a local license.
• New CASP rules require a ₱100million capital base, a physical office in the Philippines, and monthly financial reporting.
• Internet service providers have begun blocking access to non‑compliant platforms; users must either switch to licensed exchanges or use a VPN.
• Penalties range from ₱50,000 to ₱10million per violation, plus daily fines for continued breaches.
• Regional regulators in Thailand and Indonesia are adopting similar measures, signaling a broader Southeast Asian push for tighter crypto oversight.

On August12025 the Philippines Securities and Exchange Commission (SEC) the government agency that regulates securities and digital assets in the Philippines released a public advisory that named ten global crypto exchanges as non‑compliant with the country’s freshly minted Crypto Asset Service Provider (CASP) framework. Just weeks later, on August252025, the list grew to fifteen platforms. The move marks the most aggressive enforcement action since the SEC blocked Binance in 2024, and it reshapes how Filipino traders can access crypto markets.

Why the SEC Rolled Out a New Crypto Framework

In May2025 the SEC issued Memorandum Circular No.4 and No.5, establishing the Philippines’ first comprehensive CASP regime. The circulars aim to protect investors from loss, fraud, and market manipulation while giving the regulator clear tools to supervise foreign platforms that target Filipino users. Key provisions include:

• Mandatory registration of any crypto‑related service provider as a domestic corporation.
• A minimum paid‑in capital of ₱100million (about US$1.8million).
• Requirement to maintain a physical office within the Philippines.
• Monthly submission of audited financial statements to the SEC.
• Segregation of customer funds from the company’s operating capital.
• Penalties for violations ranging from ₱50,000 to ₱10million per infraction, plus daily fines of ₱10,000 until compliance.

The SEC says the rules are not a ban on crypto trading itself, but a “responsible regulatory environment” designed to safeguard the growing number of Filipino investors.

Timeline of the 2025 Blacklist Enforcement

1. July52025 - Effective date of the new CASP requirements.
2. August12025 - First advisory listing ten exchanges: OKX, Bybit, KuCoin, Kraken, MEXC, Bitget, CoinEx, Phemex, BitMart, Poloniex.
3. August72025 - Major ISPs (PLDT, Globe Telecom) begin blocking URLs associated with the blacklisted platforms.
4. August142025 - SEC clarifies that crypto trading is still allowed, but only through licensed providers.
5. August252025 - Second advisory adds Blofin, CoinW, DigiFinex, LBank, Pionex, bringing the total to fifteen.

Each step shows a coordinated effort between the regulator, telecom infrastructure, and law‑enforcement agencies to enforce compliance quickly.

Blacklisted Exchanges at a Glance

The table shows that every listed platform either lacked a registered Philippine corporation, failed the ₱100million capital test, or did not provide the required monthly reports. Only a few local players-such as Binance’s Philippine subsidiary and Coins.ph-meet the new standards.

How the New Rules Affect Everyday Traders

For a typical Filipino crypto enthusiast, the crackdown translates into three practical outcomes:

1. Access Blockage - When you type the URL of a blacklisted exchange, your ISP redirects you to a notice page explaining the regulatory violation.
2. Migration Pressure - To keep trading without a VPN, you’ll need to open an account on a compliant platform that has a local office and meets the capital requirement.
3. Increased Costs - Licensed exchanges may raise fees to cover the extra compliance overhead, which could shave a few basis points off your trades.

That said, the SEC’s August14 advisory reassures users that they can still buy, sell, and hold crypto assets; the restriction is strictly on the service providers, not the asset class itself.

Enforcement Mechanics: From Advisory to ISP Blockade

The SEC’s approach blends legal threat with technical enforcement. After publishing an advisory, the commission forwards the list to the National Telecommunications Commission (NTC), which then instructs major ISPs-most notably PLDT and Globe Telecom-to block DNS resolution for the offending domains. Users who try to reach a blocked site see a landing page stating, “This website is restricted due to non‑compliance with SEC regulations.”

Violators face a tiered penalty structure:

• First‑time infractions: ₱50,000 fine.
• Repeated or systemic violations: up to ₱10million per breach.
• Ongoing non‑compliance after a notice: ₱10,000 per day.

These fines are levied on the corporate entity, not individual traders, but the reputational damage can drive users away fast.

Regional Ripple Effects: Southeast Asia Tightens Its Grip

The Philippines isn’t acting in a vacuum. In May2025, Thailand’s SEC ordered the blocking of five exchanges-including Bybit and OKX-citing anti‑money‑laundering concerns. Meanwhile, Indonesia’s tax authority raised the income tax on offshore crypto trades from 0.2% to 1%, and amplified the tax on domestic platforms to 0.21%.

These coordinated moves suggest a regional consensus: regulators want to bring offshore crypto activity under national oversight, protect local investors, and collect revenue. For crypto firms, the message is clear-if you want to serve Southeast Asian users, you must set up a proper legal entity, meet capital thresholds, and submit regular reports.

What Traders Can Do Right Now

If you’re caught between a blacklisted exchange and the desire to keep trading, here are actionable steps:

1. Verify Compliance - Check the SEC’s official advisory page for the latest list of approved exchanges.
2. Transfer Funds Safely - Use the 90‑day exit window (similar to the Binance case) to move assets to a compliant wallet or exchange.
3. Consider Local Alternatives - Platforms like Coins.ph, PDAX, and the Philippine‑licensed arm of Binance offer the same major coins with lower friction.
4. Secure a VPN Only as a Backup - While a VPN restores access, it’s a temporary fix and may violate the exchange’s terms of service.
5. Stay Informed - Follow the SEC’s social media channels or subscribe to their mailing list for any updates on additional blacklists.

By acting fast, you can avoid the daily penalty fees that the SEC imposes on platforms still serving Filipino users without registration.

Future Outlook: Will More Exchanges Get Blacklisted?

The SEC warned that any platform “designed to onboard Philippine users without registration shall likewise be considered in violation.” That open‑ended phrasing hints at possible expansions of the list, especially as new DeFi aggregators and derivatives apps launch.

Analysts expect two scenarios:

• Compliance Wave - Larger exchanges may open Philippine subsidiaries, raise capital, and meet reporting requirements, turning the blacklist into a temporary hurdle.
• Underground Shift - Users frustrated by limited choices could migrate to peer‑to‑peer (P2P) marketplaces or decentralized exchanges (DEXs) that operate outside the SEC’s jurisdiction.

Either way, the regulatory environment is set to stay firm. For traders, the safest bet is to anchor activity with a licensed provider that can weather future policy changes.

Next Steps for the Crypto Community

Regulators are sending a clear signal: operating in the Philippines now demands the same level of corporate rigor as any traditional financial service. For developers, this means building compliance APIs that can generate the required monthly reports. For investors, it means vetting any platform’s SEC registration number before committing funds.

Stay alert, keep documentation handy, and consider diversifying across multiple licensed providers to avoid a single point of failure. The tighter rules may feel restrictive today, but they also lay the groundwork for a more stable and trustworthy crypto ecosystem in the long run.