Tag: Crypto Asset Service Provider (CASP)

South Africa's agribusiness sector offers substantial investment and entrepreneurial opportunities. Securing capital is often critical for agricultural projects. However, the fundraising process involves meeting sector-specific legal and regulatory requirements that distinguish it from other commercial financing.

As of June 2024, the Financial Sector Conduct Authority (FSCA) has issued 138 crypto asset service provider (CASP) licences. With the rolling out of licences, the discussion around the crypto industry shifts. It now moves from whether crypto assets should be regulated, to more detailed topics around "what should be regulated?" and "how should it be regulated?"

The popularity of cryptocurrencies stems from the fact that trading takes place in an anonymous environment where individuals may use pseudonyms and are not face-to-face. However, as the crypto industry grows and becomes more developed, it is becoming less true that “crypto is anonymous”.

The new regulations proposed by the South African Government will lead to greater regulatory oversight and control in the crypto asset sector and will spell bad news for non-compliant operators. It has long been clear that regulation in South Africa was inevitable, regardless of this being contradictory to the philosophy of most of those involved in the crypto asset sector.