Binance founder Changpeng Zhao (CZ) publicly endorsed a common crypto licensing framework for ASEAN member states during the 2026 ASEAN Tech Summit in Manila on July 28. Zhao proposed a “crypto regulatory passport” system that would allow a license obtained in any ASEAN country to be recognized by all others, drastically reducing the need for separate applications.
Speaking alongside Lito Villanueva of FinTech Alliance PH, Zhao highlighted the fragmented regulatory landscape as a major barrier for cryptocurrency companies operating in Southeast Asia. Currently, each nation imposes distinct AML rules, conduct standards, and capital requirements, forcing firms to run parallel licensing processes. This fragmentation inflates compliance costs and particularly disadvantages smaller, well-regulated operators.
Zhao argued that the issue is “mostly a political problem,” as the underlying technology poses no significant challenge. He pointed to the European Union’s Markets in Crypto-Assets (MiCA) regulation as a functional template, where authorized service providers can passport their services across all 27 member states with minimal additional paperwork. “Let’s get it done with a single license!” Zhao urged, emphasizing that streamlined licensing would boost competition, improve services, and lower costs for consumers.
The proposal aligns with existing precedents in ASEAN, such as the ASEAN Capital Markets Forum’s Collective Investment Schemes Framework, which already permits cross-border offerings of funds via simplified authorization. However, experts warn that harmonizing supervisory standards and consumer protection rules across nine politically diverse nations remains a significant hurdle.
The call for a crypto passport comes as Binance aggressively expands its Asian footprint, mirroring Ripple’s multi-jurisdictional strategy. If adopted, the framework could materially reduce operational overhead for exchanges and stablecoin issuers, potentially accelerating digital asset adoption across the 700-million-person region.
