South Africa’s financial regulator is the latest financial market regulator to publicly warn about the Binance crypto exchange.
What happened: The Financial Sector Conduct Authority (FCSA) issued a press release on Friday warning the public to be cautious when dealing with the Binance Group.
The regulator also stated that under the Financial Advisory and Intermediary Services Act 2002 (FAIS Act) in South Africa, the company “is not authorized to provide financial advice or intermediary services in the country”.
“If something goes wrong, you are unlikely to get your money back and you will not have any right of recourse,” said the FCSA.
As of this week, Binance has also been banned from operating in Singapore. The Monetary Authority of Singapore (MAS) ordered the exchange to stop providing payment services in Singapore and soliciting business with residents of the country.
MAS has also put Binance.com on its Investor Alert List. The regulator’s move comes despite its former director joining Binance Singapore as chief executive officer last week.
Why it matters: Although the crypto exchange is facing increased regulatory scrutiny around the world, its user base and trading volume continues to grow. At the time of writing, Binance had over $ 30 billion in 24-hour trading volume.
The subsidiary of the leading crypto exchange Binance.US has even announced that it will go public within the next few years.
“Binance.US will just do what Coin base Global Inc (NASDAQ: COIN), “said Changpeng Zhao, CEO of Binance.
Price action: Binance native tokens at press time Binance coin (CRYPTO: BNB) was trading at $ 489, up 0.66% over the past 24 hours.
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