🇿🇦 Crypto Gets Real in South Africa!

by

So, it turns out South Africa is taking this whole cryptocurrency business rather seriously. Who knew? It’s not like they have anything better to regulate, is it? 😉 Just kidding (mostly). The Financial Sector Conduct Authority, or FSCA – sounds impressively official, doesn’t it? – has been busy sorting through a frankly astonishing number of applications from companies wanting to offer crypto services. It’s rather like trying to herd cats, I imagine, only the cats are digital and potentially worth a lot of money.

South Africa Crypto Market Builds Momentum as 420 Providers Flood Licensing Pipeline

The FSCA, that bastion of financial order, has decided to update everyone on their progress. Apparently, regulating digital funny money is a thing now. On December 12th, they revealed the dizzying details. It’s enough to make your head spin, frankly. Prepare yourselves.

And what dizzying details were revealed? Well, brace yourself…

As at 10 December 2024, the FSCA has received a total of 420 CASP licence applications, of which 248 have been approved and nine declined.

That’s… a lot of applications. Nearly 250 approved! You’d think they’d have invented a special stamp by now. Another 106 applicants just gave up, realizing they probably didn’t have a clue what they were doing. Which, let’s be honest, is probably a sensible decision. 56 more are still hanging in the balance, presumably sweating nervously.

The FSCA, in its infinite wisdom, explained that the nine rejected applications were deemed, shall we say, “not up to snuff.” Apparently, these outfits couldn’t demonstrate they knew anything about running a legitimate business, had a vaguely sensible plan, or, crucially, understood what a blockchain even was. Honestly, you’d think you’d need at least a passing familiarity with the technology before attempting to profit from it.

Those rejected deluded souls are allowed to try again, provided they get their act together, but until then, they’re forbidden from doing anything crypto-related. Which, one assumes, is rather frustrating. The FSCA has also warned that anyone carrying on unauthorized crypto activity will face the full force of… well, regulation. 👮‍♀️

And it gets better! They’ve given the newly licensed companies a bit of breathing room to actually comply with all the rules. Until June 30th, they won’t be subjected to intense scrutiny. Because, apparently, nobody expects perfection overnight. Although, failing to meet the deadline could lead to a swift revocation of their license. So, no pressure.

Just to be absolutely clear, the FSCA also reiterated that crypto isn’t legal tender. The South African Reserve Bank isn’t about to start accepting Bitcoin for your taxes anytime soon, thankfully. They’ve even created a handy list of licensed providers, because, you know, transparency. 🧐 The world is a serious place, after all.

FAQ ⏰

  • How many crypto licence applications has the FSCA received?
    A truly alarming 420. Honestly, who is keeping track of all this?
  • Why were some CASP applications declined or withdrawn?
    Let’s just say they lacked a certain…competence. It’s polite to say so.
  • Can declined crypto firms reapply for a licence in South Africa?
    Yes, if they can somehow acquire a brain. Just kidding! (Sort of.)
  • Does FSCA licensing make crypto legal tender in South Africa?
    Absolutely not. Don’t even think about it.

Read More

2025-12-16 04:58