The Philippines’ securities regulator wants more authority to monitor the cryptocurrency industry.
In a new draught of rules, the Securities and Exchange Commission (SEC) of the Philippines wants to regulate cryptocurrencies and give it more power over the local cryptocurrency industry.
The securities regulator put out for public comment draught rules about financial products and services, including cryptocurrencies and digital financial products, on January 25. The Manila Bulletin is a local news source.
In a statement, the SEC said that the draught rules would put a law that had just been signed into effect and give it “rule-making, surveillance, inspection, market monitoring, and more enforcement powers.”
The rules make it clear that “tokenized securities products” and other financial products that use blockchain or distributed ledger technology are also securities (DLT).
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The SEC will also be in charge of other financial products, like digital financial products and services related to those that can be accessed and delivered through digital channels, as well as their providers.
The same thing happens with the ability to enforce securities laws. The SEC could make it illegal for service providers to charge too much in interest, fees, or other costs.
The regulator would also be able to kick out or suspend directors, executives, or any other worker who broke the law. It could also stop a business from doing anything.
Local laws allow the SEC to make its own rules for how to apply laws in its jurisdiction.The central bank of the Philippines and the country’s insurance regulator can also make rules to go along with related laws.
The latest news shows that the government is still cracking down hard on cryptocurrencies.
Late in December 2022, the SEC warned people not to use unregistered exchanges that were operating in the country. It said that some exchanges were “illegally allowing” Filipinos to use their platforms.
