#LYKA OPS

The Bangko Sentral ng Pilipinas (BSP) has ordered social media platform Lyka to stop its operations as an Operator of Payment System (OPS). Lyka is a digital community in which users share their interests by posting a photo or a video. Also, every time a Lyka user engages with other people’s posts, both parties will earn a certain amount of GEMS. “It has come to our knowledge that Lyka, a social media platform launched in the Philippines by a Hong Kong-based company, allows its users to purchase, exchange, and use Gift cards in Electronic Mode or GEMs as payment for goods and services,” said BSP Governor Benjamin Diokno at a virtual press briefing, in a report by GMA News. With that said, Diokno mentioned that the central bank ordered Lyka to suspend its activities as an OPS, urging them to register first. The suspension of Lyka’s OPS operations is in accordance with the Republic Act No. 1049, OPS that are required to register but are found to be operating without registration shall be directed to comply with the Circular’s registration requirements. According to BSP, the registration of an OPS enables the central bank to oversee the payment system it operates to ensure that it functions safely, efficiently, and reliably by itself, consistent with the central bank’s objectives of consumer protection financial stability. Read more in our articles including "BSP orders Lyka to stop operations as OPS, urges registration" and "BIR opens Tax Payer Portal".