BlockShoals Technologies Inc. has issued a detailed clarification regarding its partnership with Binance, emphasizing that integration with a Bangko Sentral ng Pilipinas (BSP)-licensed Virtual Asset Service Provider (VASP) was never a new regulatory requirement but a core component of its SEC-approved testing plan from the very beginning.

The statement comes after recent regulatory clarifications regarding the limited scope of the current 90-day testing period under the Securities and Exchange Commission’s Strategic Sandbox, or StratBox, framework. While those clarifications highlighted that the current phase is limited to technical integration and infrastructure testing, BlockShoals said the involvement of a BSP-regulated VASP has always been part of the project’s approved roadmap.

“It has always been the plan for BlockShoals Technologies Inc. (‘BlockShoals’) and Binance to work with a Virtual Asset Service Provider (‘VASP’) regulated by the Bangko Sentral ng Pilipinas (BSP) wherever this is required,” said Marie Antonette Quiogue, Head of Legal and Director of BlockShoals, in an official statement released on June 12.

“This is part of BlockShoals’ testing plan, which was submitted to and approved by the Securities and Exchange Commission (‘SEC’) under its StratBox Framework in November 2025.”

VASP Partner Already Selected

According to BlockShoals, a BSP-regulated VASP partner has already been selected and both parties are currently completing the required due diligence process before onboarding and technical integration begin.

“A VASP has been selected, and both parties are now completing the required due diligence,” the company said. “Onboarding and integration will begin once the partnership is formally in place, and it will be announced at that time.”

Regulators Were Already Informed

BlockShoals also disclosed additional details about its engagement with regulators. According to the company, representatives participated in an official meeting on May 29, 2026, with the SEC and the BSP’s Technology Risk and Innovation Supervision Department (TRISD).

During that meeting, BlockShoals said it informed regulators that discussions with a BSP-accredited VASP partner were already in their final stages. The company described the VASP integration process as a built-in requirement of its approved testing plan and an obligation expressly outlined in its Notice to Proceed.

A Three-Party Structure

BlockShoals also provided additional context on how the initiative is structured.

“It is important to BlockShoals to work with a partner that is properly regulated, has strong compliance systems, and is committed to investor protection,” the company said. “This is also why BlockShoals is working with Binance.”

Under the proposed arrangement, BlockShoals serves as the Philippine-registered entity operating within the SEC’s StratBox framework and is responsible for local compliance and regulatory engagement.

Binance acts as the global crypto-asset service provider, supplying technology infrastructure, security systems, operational expertise, and compliance capabilities.

The selected BSP-regulated VASP partner will provide the regulated fiat-to-crypto infrastructure required under the applicable regulatory framework.

Operating Under Direct Regulatory Supervision

BlockShoals emphasized that all activities remain under active regulatory oversight.

“Throughout the StratBox testing period, BlockShoals operates under the direct supervision of the SEC and welcomes the close coordination between the SEC and the BSP, which run separate but complementary regulatory frameworks,” the company said.

It added that it remains committed to regulatory compliance and the protection of Filipino users throughout the testing process.

For now, the project remains firmly within the sandbox stage. The current 90-day period is limited to technical integration, infrastructure testing, and compliance-related preparations. No public onboarding, trading activity, or commercial operations are permitted during this phase.

If testing proceeds successfully, live operational testing is expected to begin during the second half of 2026 and continue under regulatory supervision for at least two years.

Any broader public rollout would remain subject to the successful completion of testing requirements and any approvals required by regulators.

BlockShoals’ latest statement reinforces that everything from the Binance partnership, the involvement of a BSP-regulated VASP, and the project’s regulatory-first approach were all included in the framework pre-approved by regulators before the partnership was publicly announced.

While recent discussions have focused on the limits of the current testing period, the company maintains that the project continues to move forward according to its original roadmap.

‍