The European Chamber of Commerce of the Philippines (ECCP) has urged Filipino regulators to clamp down on unlicensed cryptocurrency platforms, which it claims to have become integral to a growing ecosystem of organized crime in the country.
Key Details: ECCP ICT Committee co-chair Reyner Villaseñor described a “digital crime epidemic” driven by unregulated crypto exchanges.
- Villaseñor said these platforms are allegedly aiding kidnappings, human trafficking, scams, and drug and gambling operations.
- He cited ₱460 billion in estimated Filipino losses from online crimes in 2024.
Villaseñor said criminal organizations are exploiting the anonymity offered by unregulated platforms to launder illicit funds and hide the proceeds of human trafficking and ransom payments.
“Criminal syndicates are exploiting regulatory gaps to carry out diverse illegal activities, using unlicensed and unregulated cryptocurrency platforms as their tools.”
Reyner Villaseñor, Co-Chair, ICT Committee, European Chamber of Commerce of the Philippines
The Anson Que Case:
He then cited the case of businessman Anson Que, whose ₱200 million ransom was converted into cryptocurrency to frustrate tracing efforts.
Villaseñor said foreign-based exchanges often refuse to comply with local investigations and court orders.
- However, it should be noted that as per the press conference of the Philippine National Police (PNP), they traced that some portions of the ransom money went through different virtual asset service providers (VASPs), which led to two locally licensed crypto exchanges being subpoenaed.
- The PNP also was able to send a preservation order to two international exchanges, one of which has complied to freeze the funds, as per THE May 5, 2025, press briefing.
Proposed Actions
Furthermore, Villaseñor said despite advisories and bans, platform still continue to operate.
“Despite repeated warnings and sanctions—including cease-and-desist orders and access blocking from the National Telecommunications Commission (NTC)—many of these exchanges remain active and accessible in the country.”
Reyner Villaseñor, Co-Chair, ICT Committee, European Chamber of Commerce of the Philippines
It should be noted that the Securities and Exchange Commission previously sought the assistance of the NTC to block the websites of crypto platforms like Binance.
Villaseñor proposed the following actions, which he says can avoid becoming a launchpad for organized crime:
- Immediate removal of unauthorized crypto apps from platforms.
- Enforcement of access blocks through internet service providers.
- Deployment of advanced cybercrime tracking tools.
- A nationwide campaign to improve digital literacy and crime awareness.
This article is published on BitPinas: European Business Group Urges Crackdown on Unlicensed Crypto Platforms in the Philippines
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