Due to allegations of fraud, the Philippines’ securities authority revokes Astrazion’s business registration.

The Astrazion Noble Task Community Foundation and Astrazion Global Holdings Philippines Inc. registrations have been ordered to be cancelled by the Philippines Securities and Exchange Commission (SEC) due to their unlawful securities sales.

The firms in question went too far, according to the securities regulator, “for soliciting investments from the public without the necessary license and through a fraudulent scheme.” Without being registered with the commission, securities cannot be offered to the general public, according to the SEC.

The two companies were “involved in investment-taking activities without the appropriate license or registration, which is not authorized by this Commission,” according to the public declaration. The SEC specifically pointed out the companies’ violations of section 8 of the Securities Regulation Code.

Investors were sold on Astrazion’s AZNT token as a digital asset that would appreciate from its launch price of $0.10 to highs of $10. The securities watchdog classified the transaction as a Ponzi scheme and an investment contract under the ambit of securities law.

Astrazion Group was issued a show-cause order in March 2022, requesting them to provide convincing justifications as to why the firm’s incorporation should not be dissolved and why its senior members should not face sanctions for breaking securities law. A cease and desist order was issued against Astrazion Group after the company’s response was insufficient to satisfy the commission. A ultimate termination of the entities’ corporate registration was issued following several court tussles.

Although the usage of digital assets is growing in the Philippines, authorities there are doing more to regulate the sector. The industry watchdog for securities has been on the attack against alleged rogue actors, issuing numerous public advisory warnings against them.

The nation’s tax collection department, the Bureau of Internal Revenue, is another organization boosting the stakes (BIR). The agency has filed multiple tax evasion lawsuits against dishonest individuals in the digital assets sector.

With significant legislative changes and rising acceptance rates, the nation has been driving use of virtual currencies in Southeast Asia. One area that Filipinos are interested in is the metaverse, and recent Ciena research indicates that the nation’s working class is already experimenting in this field.

The nation is ranked second in the region for transaction volumes in Chainalysis’ Global Crypto Adoption Index 2022.