Philippines Freezes Payment Operator Registrations Amid Tightened VASP Controls

The Bangko Sentral ng Pilipinas (BSP), the central bank of the Philippines, has proposed freezing new registrations for payment-system operators (OPS) for 12 months. The proposal aims to conduct a 'holistic review' of its taxonomy and licensing framework.

The BSP will suspend acceptance and processing of applications submitted before the suspension, but those already in evaluation will continue to be assessed.

The regulator wants to tighten controls on payment arrangements involving virtual asset service providers (VASPs). The new rules would require supervised institutions offering merchant acquisition services to handle regulated VASPs through direct merchant arrangements.