BSP Extends VASP License Moratorium Amid Crypto Outcry

Bangko Sentral ng Pilipinas (BSP) has extended its VASP moratorium for a third consecutive year. In an August 20, 2025 memorandum, the central bank cited consumer protection, financial integrity and rising cybercrime risks as reasons to keep the VASP moratorium in place from September 1 pending a global and local reassessment. Only existing BSP-supervised institutions, such as high-rated banks, may still apply for new VASP licenses under stricter requirements. The BSP also issued an advisory warning Filipinos to verify VASP registrations on its website and report unlicensed operators. The extension drew sharp criticism from the crypto community on BitPinas’s Facebook page. Traders called the moratorium anti-competitive, protectionist and monopolistic. They argued it favors domestic exchanges, undermines foreign platforms and could stifle competition, reduce liquidity and hamper market innovation. Critics also highlighted high fees and downtime on local exchanges and urged the BSP to raise service standards before barring international operators. A minority of community members recommended restraint and due diligence.