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BlockShoals Technologies Inc. announced it has selected a domestic Virtual Asset Service Provider (VASP) licensed by the Bangko Sentral ng Pilipinas (BSP) to proceed with its regulatory sandbox testing plan.
The company disclosed that both parties are currently completing required due diligence, with formal system integration scheduled to begin once the partnership is finalized. The update follows a meeting between BlockShoals, the Securities and Exchange Commission (SEC), and the BSP’s Technology Risk and Innovation Supervision Department (TRISD).
According to a statement from Marie Antonette Quiogue, head of legal and director at BlockShoals, integrating with a BSP-accredited VASP was a built-in requirement of the testing plan approved by the SEC under its StratBox framework in November 2025.
Blockshoals did not name the VASP partner in the statement it sent to media.
A VASP has been selected, and both parties are now completing the required due diligence. It is important to BlockShoals to work with a partner that is properly regulated, has strong compliance systems, and is committed to investor protection. Onboarding and integration will begin once the partnership is formally in place, and it will be announced at that time.
Blockshoals Statement
Technical Testing Restrictions
The disclosure follows a recent SEC clarification emphasizing that the 90-day integration period is strictly limited to technical infrastructure development. The commission stated that the phase will focus on establishing fiat rails for converting Philippine pesos to cryptocurrency and does not authorize public onboarding, public trading, or a broader market reopening.
The SEC noted that any future public participation or onboarding activities remain subject to applicable regulatory requirements and further commission approval.
BSP Cites Separate Licensing Requirements
The BSP previously confirmed that neither BlockShoals nor its global technology partner, Binance, holds an active Certificate of Authority to operate as a VASP in the Philippines. The central bank stated that participation in the SEC sandbox framework does not exempt an entity from separate central bank licensing requirements to facilitate transaction rails.
While the BSP and SEC maintain independent regulatory frameworks, the central bank confirmed that both agencies are currently coordinating regarding the BlockShoals and Binance operational plan. The respective environments are governed by BSP Circular No. 1153, series of 2022, and SEC Memorandum Circular No. 9, series of 2024.
Operational Structure and Timeline
Under the approved sandbox terms, BlockShoals will function as the locally registered intermediary while Binance provides the backend technology infrastructure, security systems, and compliance capabilities. The SEC recently amended its documentation to designate Binance as a global crypto-asset service provider (CASP) partner rather than a global VASP.
The live operational testing phase inside the StratBox framework is scheduled to commence in the second half of 2026 and will run for a minimum of two years.
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This article is published on BitPinas: BlockShoals Finalizes Selection of Licensed Domestic VASP for SEC Sandbox Testing
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