BSP Issues Regulatory Framework to Strengthen Oversight of Digital Financial Marketplaces

The Bangko Sentral ng Pilipinas (BSP) has issued Circular No. 1237, Series of 2026, establishing a comprehensive regulatory framework for the operation of digital financial marketplaces. The Circular recognizes the increasing use of digital platforms and strategic partnerships to provide consumers with access to a broader range of financial products and services. It seeks to promote responsible innovation while strengthening consumer protection, risk management, data governance, and financial stability.

Under the Circular, a digital financial marketplace refers to a web- or app-based platform operated by a BSP-supervised Financial Institution (BSFI) that offers financial products or services from at least three (3) non-affiliated providers. The framework excludes platforms that (1) offer only the BSFI’s own products, (2) simply lists promotional deals, discounts, or rewards offered by merchants, (3) function solely as payment gateways, or (4) provide government services without third-party product or service providers. 

Products that may be offered through the marketplace include simple deposit products; consumer and MSME loans; plain vanilla debt and equity securities authorized for public offering or distribution; electronic money and payment card such as cash cards and credit cards; simple insurance, health-maintenance, and pre-need products; and collective investment schemes or pooled investment funds, subject to applicable regulations. Non-financial products or services that complement the marketplace operator’s business model may likewise be offered through accredited service or product providers. However, the Circular prohibits displaying products or services associated with gambling activities or any activities not aligned with the promotion of financial soundness and customer well-being.

A bank or EMI-NBFI intending to operate a digital financial marketplace must obtain BSP approval from the BSP and submit the required documents to the appropriate supervising department at least thirty (30) banking days before the intended implementation date. Other BSFIs may be allowed to operate a marketplace with BSP approval on a case-by-case basis. The required submissions include (1) an application letter signed by the president or officer of equivalent rank, together with documentation of the proposed business model and strategic direction, (2) the Corporate Secretary’s Certificate evidencing board approval, (3) a certification of compliance with the prudential criteria signed by  the president and chief compliance officer, and (4) other documents as may be deemed necessary by the BSP which include the applicant’s information technology infrastructure and its ability to implement appropriate consumer protection and data governance measures.

The Circular places primary responsibility for marketplace governance on the operator’s board of directors. Marketplace operators must establish adequate policies, procedures, and controls. They are likewise required to conduct comprehensive due diligence on participating providers, including assessments of their reputation and governance, financial condition, operational capability, and compliance standing. In addition, operators must ensure that customers receive clear, accurate, and understandable information. They must also maintain appropriate controls to ensure fair customer treatment, suitable product recommendations, effective complaint-handling mechanisms, and compliance with applicable regulatory standards.

Existing digital financial marketplace operators must submit an application for authority to the appropriate BSP supervising department within one (1) year from the Circular’s effectivity. They are separately given a transition period of two (2) years from the effectivity to onboard at least three non-affiliated product or service providers. On the other hand, the prohibition on online gambling or gaming-related products are effective upon the effectivity of the Circular.