The Financial Sector Conduct Authority (FSCA) in South Africa has approved licenses for 248 firms to operate as crypto asset service providers (CASPs), while rejecting nine applications. The FSCA is still reviewing 56 additional applications. The regulator has received 420 CASP license applications since June 2023, with 106 applicants voluntarily withdrawing their applications. The decline in applications is largely due to applicants failing to meet fit and proper requirements and demonstrate operational ability. South Africa is one of the few African nations that regulates cryptocurrency companies, and unlicensed firms are not allowed to operate within its jurisdiction. The FSCA views cryptocurrencies as tradable or electronically stored digital representations of assets, but they are not recognized as legal tender by the country's central bank. The FSCA reminds the public that its licensing powers only cover financial services related to crypto assets under the relevant legislation. Earlier this year, the FSCA withdrew the license of CFD provider Banxso due to concerns over its operations and risks to clients. The FSCA also clarified that trading signal providers operating in the country must be licensed.



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