FSCA Licenses 75 Crypto Asset Service Providers in South Africa: Binance and Yellow Card Absent from List

The Financial Sector Conduct Authority (FSCA) in South Africa has made a significant move by licensing 75 crypto asset service providers (CASPs) after a two-year process. This list includes well-known global exchanges like Luno and VALR, but notably excludes major players Binance and Yellow Card. The FSCA has assured that applications from these companies are still under consideration.

The licensing process by the FSCA aims to protect South African investors from the risks of the volatile crypto market and prevent illegal activities such as money laundering and terrorist financing. However, it is important to note that receiving a license does not mean cryptocurrencies are endorsed as legal tender.

The licensed firms offer a variety of services, including advice, operating exchanges, facilitating crypto payments, converting between crypto and traditional currencies, and more. Felicity Mabaso, FSCA divisional head of licensing, warns that any entity operating without a license will face consequences.

The absence of Binance and Yellow Card from the licensed firms’ list raises questions about their status in South Africa. This uncertainty comes at a time when Binance is facing regulatory challenges in Nigeria, where it has halted operations and is under scrutiny for processing unidentified transactions.

Binance CEO Richard Teng has stated that the company is working closely with the Nigerian government to address these issues. The situation is still developing, and updates will be provided as more information becomes available.