According to Inquirer.Net, Bangko Sentral ng Pilipinas Deputy Governor Mamerto Tangonan announced the directive during a hearing of the Senate Committee on Gaming and Amusement on Thursday. The directive specifically targets in-app features and links that allow users to directly access electronic gambling websites through wallet platforms.

The Bangko Sentral ng Pilipinas' ultimatum comes amid growing concerns about illegal online gambling in the country. Data released at the hearing showed there were 11,985 illegal online gambling websites in the country. Of these, 6,363 were online casino games, 235 were offshore sites, and 4,815 were online cockfighting platforms.

Senate opposes 48-hour timeline

Several senators expressed dissatisfaction with the BSP’s two-day implementation period and questioned why the power outages could not be carried out immediately.

Senator Alan Peter Cayetano questioned the timeline during the hearing, asking why the shutdown would take 48 hours when it could have been implemented immediately. He criticized the extension, saying it could allow gambling activities to continue for two additional days.

Cybercrime Investigation and Coordination Center Undersecretary Renato Paraiso confirmed that the technical disconnection can be implemented immediately, contradicting the Bangko Sentral ng Pilipinas’ justification for an extension.

Committee Chairman Senator Erwin Tulfo issued a stern warning to Tangnam, giving it until Sunday morning to remove all gambling links from its e-wallet platform or face contempt of court charges. Tulfo stressed the seriousness of the situation, calling it a crisis that demands immediate action.

Tangonan agreed to face contempt of court charges if he did not remove the links to gambling websites from his e-wallet by the end of Saturday.

Central bank defends implementation period

Despite the criticism, Tangonan defended the 48-hour deadline, explaining that the Bangko Sentral ng Pilipinas wanted to provide enough time for e-wallet operators to prepare their systems and inform users of the changes.

However, Senate Majority Leader Joel Villanueva rejected that rationale, objecting to the central bank's argument that it would take 48 hours even if technical officials confirmed it could be implemented immediately.

Villanueva emphasized the urgency of the situation and the need to protect the public, citing tragic incidents of people committing suicide after losing money gambling online.

Industry groups advocate for regulatory approaches

While the Bangko Sentral ng Pilipinas (BSP) is pushing for a shutdown order, the PlaySafe Alliance PH, which represents 20 government-authorized online gaming operators, has proposed an alternative approach. The group argues that mobile wallets should be retained as a law enforcement tool rather than being completely disconnected from gaming-related transactions.

Alliance spokesman Mike Defensor stressed that regulated e-money issuers provide critical know-your-customer (KYC) data and transaction trails that enable authorities to trace the flow of funds and bring charges against illegal operators.

The group warned that a complete blackout could force operators and gamblers to turn to cash couriers or other digital payment channels that are more difficult for regulators to monitor.

The broader regulatory context

The controversy comes as the online gambling industry in the Philippines faces increasing scrutiny from lawmakers and regulators, with some lawmakers calling for an outright ban or tighter regulations on online gambling, citing its negative impact on Filipinos already developing gambling addictions.

The Bangko Sentral ng Pilipinas (BSP) has also proposed a circular to regulate online gambling payment services, which includes strengthening identity verification requirements, daily transaction limits, and mandatory monitoring of gambling-related activities.

The PlaySafe Coalition expressed support for the proposed regulations, while advocating for clear protocols to govern when and how accounts can be frozen, including oversight mechanisms and data privacy protections.