Share this article
Crypto Assets in South Africa Would Be Considered Financial Products Under Regulator Proposal
If implemented, the declaration would require crypto firms in South Africa to register as financial services providers.
Updated May 9, 2023, 3:13 a.m. Published Nov 21, 2020, 6:32 p.m.
Cryptocurrency assets would be treated like financial products under South Africa’s Financial Advisory and Intermediary Services (FAIS) Act, under a draft declaration by a financial regulator.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
“The Declaration would have the effect that any person furnishing advice or rendering intermediary services in relation to crypto assets must be authorised under the FAIS Act as a financial services provider, and must comply with the requirements of the FAIS Act,” wrote the Financial Sector Conduct Authority (FSCA), which is seeking comment on the proposal. “This will include crypto asset exchanges and platforms, as well as brokers and advisors.”
How each country treats cryptocurrency has major implications for which regulators oversee crypto activities and what licenses companies have to pursue. In January 2019, South Africa’s central bank published a paper saying regulatory action on crypto assets needed to be prioritized to protect consumers.
The regulator also said the declaration could improve disclosures about the risks of crypto assets to customers looking to invest. The draft doesn’t impact “the status of crypto assets in the context of other laws such as exchange control regulations, requirements under the Pension Fund Act and Collective Investment Schemes Act and so forth, nor does it attempt to regulate, [legitimize] or give credence to crypto assets,” the regulator wrote.
The draft will serve as an “interim step” between more developments from the country’s Crypto Assets Regulatory Working Group, which will impact future crypto policies in South Africa.
The FSCA is asking interested parties to submit comments on the draft declaration by Jan. 28, 2021.
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Turkey's Paribu Buys CoinMENA in $240M Deal, Expanding Into High-Growth Crypto Markets
With the acquisition, Paribu gains regulatory foothold in Bahrain and Dubai and access to the region's fast-growing crypto user base.
What to know:
- Paribu acquires Bahrain- and Dubai-based CoinMENA for up to $240 million.
- Deal marks Turkey’s biggest fintech acquisition and first international crypto M&A, the firm said.
- The move taps into the MENA region’s fast-growing crypto user base and supportive regulatory hubs.
Top Stories
