In a meeting on Nov. 12, the Commission En Banc resolved to grant in-principle approval for Blockshoals to enter the SEC’s regulatory sandbox, subject to its completion of remaining compliance requirements.
The move allows the company to begin preparations for controlled testing of its proposed offerings.
What is SEC StratBox?
Implemented under SEC Memorandum Circular No. 9, Series of 2024, the SEC StratBox serves as a regulatory sandbox enabling firms to test innovative financial products or services in a live but supervised environment, the SEC explained in a press release.
The framework aims to help companies safely refine tools that may later be offered to the broader public.
Under the program, the SEC may also grant regulatory reliefs to sandbox participants by “modifying or replacing specific licensing, registration, compliance, or other regulatory requirements” during the testing period, it added.
Blockshoals’ role in the sandbox
Blockshoals is a Philippine-based fintech firm operating as a technology and infrastructure intermediary for virtual asset services.
The company recently partnered with a global crypto exchange to support the operational rollout of its StratBox application.
The initial testing period is scheduled for 24 months, with the possibility of being shortened or extended after the first year based on periodic SEC review.
Growing sandbox participation
Blockshoals becomes the fourth entity approved to test products or services under the SEC StratBox.
Of the existing participants, two are focused on offering US equities, while one is testing tokenized real estate offerings—highlighting the expanding range of regulated fintech experimentation in the Philippines.
Commitment to innovation
In the press statement, the SEC emphasized that it continues to evaluate more sandbox applications and remains open to receiving new proposals.
The Commission reiterated that its regulatory sandbox initiative aligns with its broader mandate to support innovation while maintaining investor protection and market integrity. —Ed: Corrie S. Narisma
