Philippine SEC Warns of 7 Unlicensed Crypto Platforms

The Philippine Securities and Exchange Commission issued a public advisory on February 15, 2025, warning investors against using seven cryptocurrency platforms operating without required licenses in the country. The regulator identified dYdX, Aevo, gTrade, Pacifica, Orderly, Deriv, and Ostium as entities offering investment services to Filipino residents, including promises of returns, profits, or interest, without proper authorization under the nation's cryptoasset service provider framework.

The advisory, posted on the SEC's Facebook page, emphasized that none of the platforms are registered with the commission or meet the mandatory capital reserves and operational standards needed to solicit investments locally. According to the SEC, these platforms expose users to significant risks, such as lack of investor protections, potential fraud, and limited legal recourse in cases of financial loss or platform failures. The regulator also cautioned that individuals promoting these services through social media or other channels could face criminal penalties under Sections 28 and 73 of the Securities Regulation Code, including fines of up to 5 million Philippine pesos, approximately...