Binance Allowed to Operate in Philippines, Peso Services Restricted
Binance has resumed operations in the Philippines, offering crypto trading access through a partnership with BlockShoals Technologies. However, neither company is authorized to handle transactions involving the Philippine peso, according to regulatory clarifications made by BlockShoals' head of legal, Marie Antonette Quiogue.
Speaking at the Philippine Blockchain Week 2026, Quiogue explained that Binance operates under the Securities and Exchange Commission’s (SEC) Crypto Asset Service Provider (CASP) framework. BlockShoals functions as an intermediary, connecting local users to Binance's global trading platform. This arrangement comes after Binance faced regulatory action in 2024, when the SEC and Bangko Sentral ng Pilipinas (BSP) moved to block access to the exchange over licensing concerns.
Despite its return, Binance remains excluded from peso-related services. The BSP reiterated that neither Binance nor BlockShoals holds the required Virtual Asset Service Provider (VASP) license, which is mandatory for handling fiat-to-crypto transactions in the Philippines. "Participation in the regulatory sandbox does not exempt an entity from complying with applicable laws, including licensing requirements," the BSP stated.
SEC Framework Enables Limited Operations
Quiogue emphasized that the absence of a VASP license does not preclude Binance’s operations under SEC jurisdiction. "Trading falls under the SEC’s remit. Binance and BlockShoals are not moving pesos, which is clearly under the BSP's jurisdiction," she said. The partnership operates within the SEC's Strategic Sandbox (StratBox), designed to test compliance within the CASP framework introduced in mid-2025.
However, Quiogue acknowledged that any new services outside the SEC’s purview would require separate authorization. "If Binance or BlockShoals offers products regulated by another agency, they must secure approval," she added.
Regulatory Backdrop: Tightening Oversight
The Philippine crypto industry operates under a dual regulatory framework, with the BSP overseeing VASPs and the SEC regulating crypto asset exchanges. The BSP's Circular No. 1108 requires licenses for entities handling crypto-to-fiat services. However, a moratorium on new VASP licenses has been in place since September 2025, leaving Binance unable to pursue compliance on this front.
The SEC, meanwhile, introduced stringent CASP rules in July 2025, mandating registration and operational transparency for crypto platforms. Binance’s current model leverages this framework while avoiding activities regulated by the BSP, such as peso transactions.
Recent regulatory actions further underscore the Philippine government’s cautious stance. On June 5, 2026, the BSP banned licensed VASPs from supporting privacy tokens. Just nine days later, it issued stricter listing and monitoring standards for virtual assets. The BSP also renewed warnings against unlicensed platforms in May, citing risks of fraud and financial loss.
Binance’s Challenging Path in the Philippines
Regulatory scrutiny of Binance in the Philippines dates back to November 2023, when the SEC flagged the exchange for operating without proper registration. By mid-2024, access to Binance’s website was blocked locally. Its re-entry through BlockShoals marks a strategic pivot toward compliance within the existing regulatory system, albeit with significant limitations.
The absence of a VASP license restricts Binance from offering full-spectrum services, including fiat transactions. For Filipino traders, this means accessing Binance’s global crypto trading platform but relying on separate channels for peso-related services—a workaround that complicates user experience.
As regulatory oversight continues to tighten, Binance’s activities in the Philippines will remain under close watch. The exchange’s ability to navigate the SEC and BSP’s respective frameworks will determine its long-term viability in this key Southeast Asian market.