Binance International have confirmed with Global Crypto that the exchange is aware of the notice published by the South Africa FSCA on September 3.
As the FSCA stated in its notice, cryptocurrency related activities are currently not regulated by it or any other body in South Africa. Binance have said that in order to bridge the gap and to uphold their commitment to protecting their users, Binance.com has set stringent and industry-first standards.
“We have recently implemented the Intermediate Verification requirement for all users which supports Binance’s Know Your Customer (KYC) and Anti-Money Laundering (AML) efforts,” the company confirmed. “In addition, to ensure that our users are as protected as possible, since 2018, Binance.com has implemented a Secure Asset Fund for Users (SAFU) where we allocate 10% of all trading fees received into it to offer protection to our users and their funds in extreme cases.”
The statement continued, “Furthermore, Binance.com is committed to taking a collaborative approach in working with regulators and law enforcement globally, and in particular, Binance.com is continuously collaborating with the FIC (Financial Intelligence Centre), the major regulator of financial crimes in South Africa. Binance.com is registered with the FIC as a voluntary self-disclosure institution. As a member of this programme, Binance complies with the FIC Act obligations relating to establishing and verifying of clients’ identities, record keeping and reporting suspicious or unusual transactions in terms of section 29 of the FIC Act.”
In the course of 2021 to date, Binance.com have stated to Global Crypto that the company have collaborated with the FIC on over 462 cases, and in turn, they understand that the FIC collaborates with the FSCA for investigations when necessary. We have reached out to the FSCA for more clarification on their statement and look forward to working with them and addressing any concerns they may have.
In terms of social media outreach, Binance confirm that they have an official Binance South Africa Telegram community which promotes blockchain education and community announcements. The exchange stated that the group is not intended, nor does it provide any financial advice, saying that the community is moderated by Binance staff, admins and “Binance angels” (community volunteers).
Concluding the communiqué, Binance stated that they do not have an associated entity named “Binance Group” in Seychelles.
1/4 We are aware of the notice published by the South Africa FSCA on September 3 and we can confirm that https://t.co/PbdKFkGVOe does not provide financial advice or render any intermediary services. Also, we do not have an entity called “Binance Group” in Seychelles.
— Binance Africa (@BinanceAfrica) September 3, 2021