The Bangko Sentral ng Pilipinas (BSP) has proposed a 12-month freeze on new registrations for operators of payment systems (OPS). This pause aims to facilitate a comprehensive review of the current licensing framework and taxonomy used by the regulator.
During the suspension, the central bank will stop accepting and processing new applications. While existing applications submitted prior to the freeze may still undergo evaluation, no final approvals or denials will be issued until the moratorium concludes.
The draft circular also introduces stricter requirements for institutions supervised by the BSP that offer merchant acquisition services. These entities must handle virtual asset service providers (VASPs) through direct merchant arrangements, subject to enhanced due diligence and monitoring.
New risk-based controls will include specific transaction and settlement limits for arrangements involving VASPs. These firms are categorized alongside gambling and gaming providers, as well as money service businesses, requiring mandatory licensing or authorization.
The proposed regulations will take effect 15 days after their official publication, provided the draft is finalized. The central bank is currently in the process of gathering feedback regarding these measures.
