Philippines SEC Warns 10 Unregistered Crypto Exchanges of Legal Action

The Philippines Securities and Exchange Commission (SEC) has issued a public advisory targeting 10 major cryptocurrency exchanges, including OKX, Bybit, KuCoin, Kraken, MEXC, Bitget, Phemex, CoinEx, BitMart, and Poloniex, for operating without the necessary authorization under the country’s new regulatory framework. The platforms are accused of promoting and facilitating crypto services to local users despite failing to register under SEC Memorandum Circulars No. 4 and No. 5, which came into effect on July 5, 2025 [1].

The SEC emphasized that these exchanges are not licensed to operate within the jurisdiction and warned that their continued activities pose significant risks to investors. “Their actions are unauthorized and expose Filipino investors to significant risk,” the advisory stated. It further noted that many of the platforms maintain an active local marketing presence, despite lacking the required authorization [1].

The regulator has warned it will pursue legal and enforcement actions against the unregistered platforms, including issuing cease and desist orders and initiating criminal complaints. The SEC also indicated it would collaborate with major tech companies such as Google, Apple, and Meta to restrict unauthorized marketing and promotional activities [1]. Last year, the agency successfully removed Binance’s app from app stores for users in the Philippines, citing concerns over investor protection [1].

The crackdown reflects a broader regulatory tightening across Southeast Asia. Indonesia and Thailand have also introduced stricter rules this year to target offshore exchanges operating without local licenses. In May, Thailand’s SEC ordered the blocking of several exchanges, including Bybit and OKX, while Indonesia has imposed higher tax rates on foreign platforms. These measures highlight a regional trend of increased scrutiny in the crypto space [1].

The Philippines SEC has also clarified that the list of 10 exchanges is not exhaustive, and that other unregistered platforms are also in violation of local securities laws. The regulator defined violations to include any activity that offers, promotes, or facilitates access to crypto-asset trading venues or intermediation services [1].

Industry observers suggest that the regulatory environment in the country remains in flux, with uncertainty persisting among market participants. However, the SEC’s actions indicate a clear intent to strengthen oversight and protect investors from the risks associated with unregulated platforms. As the country continues to refine its regulatory approach, it is likely to further align with global efforts to reduce fraud and enhance transparency in the crypto market [1].

[1] Source: [1] Philippines SEC Flags 10 Crypto Exchanges for Violations (https://cointelegraph.com/news/philippines-sec-warns-okx-bybit-kucoin-kraken-unregistered)

[2] SEC Targets 10 Crypto Exchanges in the Philippines (https://coinpedia.org/news/sec-targets-10-crypto-exchanges-in-the-philippines/)

[3] The Philippines After FATF Grey List Exit: What It Means for ... (https://www.tookitaki.com/compliance-hub/the-philippines-after-fatf-grey-list-exit-what-it-means-for-financial-institutions-and-compliance)