Cryptocurrency exchanges operating in South Africa must be in theRegister with the country's financial regulator by November 30。Exchanges that do not comply with this directive face enforcement action, including fines or business closures, and the Financial Conduct Authority of South Africa (FSCA) said today (Tuesday)。

FSCA Commissioner Unathi Kamlana commented: "Financial customers can suffer serious damage when using crypto products, so it makes sense for us to introduce a regulatory framework.。Time will prove the effectiveness of our measures, and we will continue to work with the industry to refine and improve them as needed。"

Affected exchanges include Binance, which currently operates in Africa's most developed economies.Exchanges such as Coinbase, Kraken and KuCoin。FSCA plans to curb increase in fraudulent activity involving digital assets。

South African Financial Regulator (FSCA) may be affected by previous cases of fraud in this area and implement strict supervision.。For example,Last year, a family namedAfricrypt's Cryptocurrency Exchange Claims Hacked, $3.6 Billion Worth of Bitcoin Missing。South African law enforcement then launched an investigation into the matter, which is believed to be a fraud case, Bloomberg reported.。Also, in another case,The FCSA said in 2020 it was investigating Mirror Trading International (MTI), a cryptocurrency trading network operating in South Africa.。This comes after the U.S. Commodity Futures Trading Commission (CFTC) sued the platform and its founder, which the CFTC called "the largest fraud scheme involving Bitcoin."。

as a result of such cases,The FSCA said it is working with other financial sector regulators and policymakers in the country to regulate cryptocurrencies.。According to the regulator, the sector poses a significant risk to investors.。Regulators in other regions have made similar moves, including the UK, where Financial Mills recently reported that it approved a bill classifying cryptocurrency transactions as regulated activities.。The bill also includes stablecoins in payment rules and gives regulators more power to oversee digital assets.。Following the adoption of the Act, the Bank of England, the payment system regulator and theFCA Expects New Regulations to Regulate Digital Assets。