• The Philippine Securities and Exchange Commission has issued a warning to investors within the country against using unregistered cryptocurrency exchanges.
• The warning was issued in light of the recent collapse of the FTX exchange, and considers that any entity intending to conduct business within the country is required to register with the SEC.
• The SEC highlighted that some exchanges are targeting Filipino investors via advertisements online and through social media and are unlawfully allowing Filipinos to access their platforms and create accounts.
The Philippine Securities and Exchange Commission (SEC) has issued a stark warning to investors within the country against using unregistered cryptocurrency exchanges. This comes in light of the recent collapse of the FTX exchange, and serves as a reminder of the laws within the country, which state that any entity intending to conduct business within the Philippines is required to register with the SEC.
The SEC issued an advisory to the public against using these unregistered exchanges that are currently operating within the country. In the warning, the government agency highlighted that a number of these exchanges are targeting Filipino investors via advertisements online and through social media and are unlawfully allowing Filipinos to access their platforms and create accounts.
The SEC also warned that the products and schemes offered by these exchanges are often high-risk and can be fraudulent. It urged investors to be aware of the risks when considering to invest in these digital assets, and to be careful when choosing an exchange to buy and sell digital assets. Furthermore, the SEC advised the public to only invest in digital assets that are registered with the SEC.
The SEC also encouraged the public to report any suspicious activity to the SEC or the Philippine National Police’s Anti-Cybercrime Group. This is in order to protect investors and ensure that the integrity of the digital asset industry is maintained.
The Philippine government’s warning follows a similar move by other countries, such as South Korea and Singapore, to protect investors from the potential risks of investing in digital assets. This is a reminder for investors to always do their due diligence before investing in any digital asset.