Lyka operations to be halted as ordered by the Bangko Sentral ng Pilipinas!

The Bangko Sentral ng Pilipinas just issued an order to Lyka to stop operations as Operator of Payment System. The latter needs to register with BSP.

Lyka was ordered to halt OPS operations by BSP

BSP: Lyka needs to register as an Operator of Payment System first

File photo: ICT Org warns about security and data privacy risks from LYKA app!

The BSP found out that the social media platform Lyka offers users the ability to purchase, exchange, and use GEMs as payment for goods and services. These activities made Lyka an OPS according to the Monetary Board. To continue operations, Lyka needs to register with the Bangko Sentral ng Pilipinas as an Operator of Payment System.

BSP, in turn, ordered Lyka to suspend its activities as an OPS. The former also invited the latter to apply for registration as it is the only way to continue its OPS services. The BPS order is backed by the Republic Act No. 11127 or The National Payment Systems Act (NPSA) and the BSP Circular No. 1049 provides for the Rules and Regulations on the Registration of Operators of Payment System.

Once Lyka is registered as an official OPS, the BSP is allowed to oversee the payment system it operates to make sure that it is safe, efficient, and reliable. Lyka has already expressed its willingness to register as an official OPS with the BSP.

The Bangko Sentral ng Pilipinas reminds the public to only use BSP-registered OPS to ensure safety. You can check the official list of registered OPS here.

What do you guys think?

Via: GMA