CoinDesk
Coins.ph, the Philippines’ largest crypto exchange, faces possible punitive action from the Bangko Sentral ng Pilipinas over alleged services to offshore gambling firms. The exchange has more than 18 million customers and handles about $50 million in 24-hour spot trading volume. One person familiar with the matter said the alleged infractions could be serious enough to cost the company its license.
Why it matters
Coins.ph controls an estimated 75% to 80% of peso-to-stablecoin liquidity in the Philippines, making the regulatory action significant beyond the company itself. A person familiar with the situation described a potential license loss as an “earthquake” for the country’s crypto ecosystem.
The central bank reportedly restricted deposits through DCPay Philippines, Coins.ph’s main wallet firm, earlier this month. The restriction was not time-bound, unlike temporary suspensions typically imposed for operational issues. Several senior compliance staff have also left this year, including chief compliance officer Lexi Herrera and AML specialists Chris Beaño and Irish Calagui.
Market impact
A disruption to Coins.ph could affect access to peso-to-stablecoin transactions, a channel used by offshore gambling firms to pay partners, according to people familiar with the matter. The issue also intersects with remittance flows: more than 10.8 million Filipinos live abroad, and the country receives about $43 billion in annual remittances, although most use banks and money-transfer services.
The central bank previously directed supervised institutions to cut in-app access to gambling sites, after which some gambling entities reportedly moved to Coins.ph. The exchange and the central bank did not respond to requests for comment by publication time.
Frequently asked questions
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Why could action against Coins.ph affect the wider Philippine crypto market?
Coins.ph controls an estimated 75% to 80% of the Philippines’ peso-to-stablecoin liquidity. A disruption could affect access to a major local transaction channel.
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What conduct is reportedly behind the potential regulatory action?
The alleged infractions involve serving offshore gambling firms. The central bank had previously directed supervised institutions to cut in-app access to gambling sites.
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What restrictions did the Philippine central bank reportedly impose?
Earlier this month, the Bangko Sentral ng Pilipinas reportedly restricted deposits through DCPay Philippines, Coins.ph’s main wallet firm. The restriction was described as not time-bound.
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How large is Coins.ph’s customer base and trading activity?
Coins.ph has more than 18 million customers and about $50 million in 24-hour spot trading volume.
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How does the Coins.ph case intersect with Philippine remittances?
More than 10.8 million Filipinos live abroad, and the Philippines receives about $43 billion in annual remittances. Most remittances are sent through banks and money-transfer services.
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