Philippines Orders ISPs to Block Coinbase, Gemini; BTC/ETH Trading Disrupted
Philippine internet service providers began blocking access to Coinbase and Gemini on December 24, 2025, following a National Telecommunications Commission (NTC) directive requested by the Bangko Sentral ng Pilipinas (BSP). The action targets about 50 unlicensed Virtual Asset Service Providers (VASPs) deemed non-compliant with BSP Circular No. 1206. Direct access to major international exchanges is restricted for local users, affecting trading of Bitcoin (BTC) and Ethereum (ETH). The BSP says the move aims to protect consumers from unregulated platforms and enforce registration; BSP data cited in the report indicates over 90% of the targeted entities lacked required VASP registration. Local, BSP-licensed exchanges (for example XTexchange) are cited as alternatives and are seeing increased user interest. The directive follows prior regulatory measures in the region, such as 2024 restrictions on Binance, and signals continued enforcement pressure requiring global platforms to secure local licensing to retain market access. Traders should expect potential short-term liquidity shifts to licensed local venues, possible routing through VPNs for access, and modest disruption to fiat on-ramps and cross-border flows until compliance or licensing changes occur.
Bearish
Blocking major international exchanges reduces direct access to deep liquidity venues, likely causing short-term liquidity fragmentation and increased spread/price slippage for BTC and ETH trading in the Philippines. Traders may migrate to licensed local exchanges, which can concentrate order flow but typically have thinner books versus global venues, increasing volatility. Historical parallels include 2024 regional restrictions on Binance, which led to temporary local price dislocations and higher trading costs until either market participants adapted or platforms obtained licenses. In the short term expect reduced fiat on-ramp efficiency, potential volume outflows, and localized price weakness. In the medium-to-long term the impact could be neutralized if global exchanges obtain BSP registration or local venues scale capacity — improving regulatory clarity tends to support institutional confidence, but transition periods favor bearish price pressure in affected local markets.