We welcome the Binance decision to terminate certain services to the South Africans, said a South African regulator, The Financial Sector Conduct Authority (FSCA). Recently, Binance announce to end of its some services to South Africans for following the local crypto laws.
Binance is one of the largest crypto exchanges in the world and is also famous for not following the local rules. In the management of the previous CEO, Binance ran into many problems with regulators around the world. The new CEO announced that he is going to change the course of Binance and will make it a regulated firm in the whole world. In that sense, Binance is trying to follow the local crypto laws of each country.
Binance decision to terminate certain services in South Africa:
FSCA has alleged Binance that they have not followed certain financial sector laws like Financial Market Act and Financial Advisory and Intermediary Services Act, 2002. FSCA demanded a set of corrective actions from Binance. Binance decision came after the demands of FSCA, in which they announced that accounts will not be opened for trading derivatives after October 8. Binance further added that existing derivative trades must be ended within 90 days period of notice.
Binance decision to terminate services as per the demand of FSCA was appreciated by the regulator. The regulator also warned about the unregulated firms at the same time while appreciating the Binance decision. The statement about un-regulated firms explained:
Once again, the FSCA cautions the public that should they consider derivative market transactions, then only do so with a properly registered Financial Services Provider.
The regulator also advised prospective investors to verify the status of any service provider by calling its toll-free number or by visiting a website. For more content click here.