The Philippines’ Securities and Exchange Commission (SEC) has issued a warning to the public regarding Binance, claiming that it is not properly registered there and does not have the required authorization or license to operate.
On Tuesday, the SEC made note of Binance’s aggressive use of social media to entice Filipinos to trade and invest, stressing that such promotional efforts are prohibited in the absence of the necessary licenses.
According to the Securities Regulation Code, the SEC has issued a warning to anyone advocating Binance in the Philippines, as they may face legal ramifications. According to the SEC’s recommendation, violations might result in a maximum punishment of five million pesos, or about $90,260, a potential 21-year jail sentence, or a combination of both.
According to sources, Binance’s website and applications won’t work in the Philippines for the next three months as a result of the SEC’s ruling. Giving local users a grace period to sell off and withdraw their assets is the goal of this action. In addition, the SEC has contacted Google and Meta to request that they stop running Binance adverts on their websites within the nation.
According to his LinkedIn profile, Kenneth Stern, the general manager of Binance in the Philippines, departed the cryptocurrency exchange this month. The Binance representative did, however, clarify that Stern left the firm in July long before the SEC sent out its warning.