South Africa's FSCA Receives 128 Crypto Exchange License Applications by November 30 Deadline

Gate News message, April 15 — As of November 30, 2023, South Africa’s Financial Sector Conduct Authority (FSCA) had received 128 applications for crypto asset service provider licenses, marking the final day for digital asset exchanges to submit their applications under the country’s mandatory licensing regime.

Of the 128 applications, 19 were withdrawn due to insufficient experience and inadequate operational policies. The remaining 74 applications are under review, with 36 having completed assessments scheduled for the December 12 Licensing Executive Committee meeting. An additional 22 applications are pending for various reasons and will be presented on February 13, 2024, while 14 applications with ongoing analysis are scheduled for March 12, 2024. Two applications remain undisclosed.

The FSCA’s evaluation criteria include assessment of operational policies, Know-Your-Customer (KYC) compliance, data protection, cyber risk management, conflict of interest management, complaints handling, and credit counterparty risk management. South Africa became the first African nation to require crypto exchanges to obtain licenses, a measure aimed at protecting investors and establishing a comprehensive regulatory framework for digital assets.