Philippine Central Bank Proposes 12-Month Moratorium on New Registrations for Payment System Operators, Tightens Oversight of Virtual Asset Service Providers

Odaily News: The Bangko Sentral ng Pilipinas (BSP), the Philippines' central bank, is proposing a 12-month suspension on accepting and processing new registration applications from Payment System Operators (OPS) to conduct a comprehensive review of relevant classifications and licensing frameworks.

Applications submitted prior to the suspension will continue to be evaluated but will not be approved or denied until the suspension period ends. Unless otherwise authorized by regulators, entities must not engage in business activities that require OPS registration.

Merchant acquirers regulated by the BSP that serve regulated Virtual Asset Service Providers (VASPs) must collaborate through direct merchant arrangements and implement risk-based controls such as enhanced due diligence, ongoing monitoring, and transaction and settlement limits. Relevant VASPs must be licensed, registered, or authorized by the BSP, the Philippine Securities and Exchange Commission, or other agencies.

If approved, the draft will take effect 15 days after publication. The BSP is currently soliciting feedback. (Cointelegraph)