BlockShoals Technologies said it has selected a Bangko Sentral ng Pilipinas (BSP)-accredited Virtual Asset Service Provider (VASP) and is completing due diligence before beginning onboarding and system integration, a move the company said was already required under its Securities and Exchange Commission (SEC)-approved testing framework.
In a statement issued on June 12, the company said the planned partnership forms part of the testing plan approved by the SEC under its Strategic Sandbox (StratBox) framework in November 2025.
The announcement comes amid heightened regulatory scrutiny of BlockShoals and its global technology partner Binance after the BSP confirmed that neither company currently holds a Certificate of Authority to operate as a VASP in the Philippines.
According to crypto news outlet BitPinas, the BSP recently reiterated that neither Binance nor BlockShoals holds a Certificate of Authority to operate as a VASP.
The central bank also stressed that participants in regulatory sandbox programs must continue to comply with all applicable laws, regulations, and licensing requirements imposed by relevant regulators.
The clarification followed an SEC statement that the 90-day integration period granted to BlockShoals under the StratBox framework is strictly for testing and technical infrastructure development and does not constitute a public relaunch of Binance-related trading services in the country.
BitPinas also reported that the SEC revised BlockShoals’ testing terms to identify Binance as a global crypto-asset service provider (CASP) partner rather than a global VASP.
The BSP’s clarification highlighted the distinction between the two regulatory regimes governing digital assets in the Philippines. Virtual Asset Service Providers are licensed by the BSP, while Crypto-Asset Service Providers fall under the SEC’s regulatory framework.
Against this backdrop, BlockShoals said it informed regulators during a May 29 meeting with the SEC and the BSP’s Technology Risk and Innovation Supervision Department (TRISD) that it was finalizing an agreement with a BSP-accredited VASP partner.
“It has always been the plan for BlockShoals Technologies and Binance to work with a Virtual Asset Service Provider regulated by the Bangko Sentral ng Pilipinas wherever this is required. This is part of BlockShoals’ testing plan, which was submitted to and approved by the Securities and Exchange Commission under its StratBox Framework in November 2025,” said Marie Antonette Quiogue, BlockShoals head of legal and director.
Quiogue added that the company told regulators it was finalizing an agreement with a BSP-accredited VASP partner, describing the arrangement as “a step that is a built-in requirement of its approved testing plan and expressly required under its Notice to Proceed.”
The company did not identify the selected VASP, saying only that both parties are completing the required due diligence process. It said onboarding and integration would begin once the partnership is formally established.
BlockShoals said it selected a partner that is “properly regulated, has strong compliance systems, and is committed to investor protection.”
The firm also stressed that it continues to operate under the SEC’s direct supervision during the StratBox testing period and remains committed to regulatory compliance and consumer protection.
