The Philippines Security and Exchange Commission (SEC) has followed in Nigeria’s footsteps by directing Apple and Google to eliminate the Binance app from their app stores for Filipino users.
According to CoinTelegraph, a press release by the SEC on April 23 said it is working with Apple and Google to remove applications operated by Binance, the biggest crypto exchange in the world. It confirmed that the big tech companies received separate letters to that effect on April 19.
The SEC has identified [Binance] and concluded that the public’s continued access to these websites/apps poses a threat to the security of the funds of investing Filipinos.
Emilio Aquino, the Chair of the SEC, stated that the sale or offering of unregistered securities by Binance to residents, as well as acting as an unregistered broker, violates the country’s securities regulations.
He added that the removal of Binance applications from the Digital app marketplace by major tech companies would contribute to curbing the proliferation of illicit activities within the country’s securities industry.
This move by the SEC follows the blocking of access to Binance websites by the SEC and the National Telecommunications Commission (NTC) on March 25.
The Securities and Exchange Commission of the Philippines has been cautioning its residents against utilizing Binance for investment purposes since November 2023. The reason cited is that the cryptocurrency exchange has not obtained a license to offer investment opportunities to the public or to function as a platform for trading securities.
The SEC also said Binance has been actively promoting its services on social media to attract funds from Filipinos, despite not being licensed by the regulator.
READ MORE: LemFi Suspends Ghana Operations, Here’s Why
The watchdog said it is urging Filipinos with investments in Binance to immediately close their positions or to transfer their crypto holdings to their own crypto wallets or exchanges registered in the Philippines.
A Securities and Exchange Commission (SEC) representative previously stated that Binance users had a three-month window to withdraw their funds from the platform. Once this period expired, the government would no longer support any withdrawal methods.
The Philippines is the latest country to make moves to Ban Binance from its shores following compliance concerns and accusations of illegality.
Binance woes
The development contributes to a series of challenges for Binance, as the company appointed Richard Teng, the previous head of UAE regulator Abu Dhabi Global Markets, as its CEO in November 2023, following a U.S. government settlement that mandated the payment of a $4.3 billion fine for suspected money laundering breaches.
Former Binance CEO Changpeng Zhao was also charged with violating the Bank Secrecy Act and agreed to step down. Zhao’s sentencing is expected to take place on April 30.
Binance has separately been sued by the U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission over alleged mishandling of customer assets and the operation of an illegal, unregistered exchange in the U.S.
What To Know
- Binance has been involved in a series of showdowns with various countries on issues of compliance and accusations of illegal activities. In Nigeria two of its executives were detained over charges of currency manipulation. In Canada, a new class action lawsuit was filed against Binance following allegations it violated local security laws.
- Binance, on a positive note, received its crypto license in Dubai and is now a certified Virtual Asset Service Provider (VASP).
- In India, Binance is set to re-enter the Indian market after paying a fine of $2 million for previous noncompliance with local regulations.
- On the same day, it was reported that Binance received its crypto license in Dubai, also known as the coveted Virtual Asset Service Provider (VASP), after its co-founder Changpeng Zhao gave up his voting power in the exchange’s local entity.
