A Financial Sector Conduct Authority health warning on cryptos comes amid a flood of complaints from investors who lost money or were scammed, says head of enforcement at the regulatory body, Brandon Topham.
As major financial hubs like Singapore redraw legislation to lure crypto firms, South Africa’s burgeoning exchanges say they are having to move headquarters abroad due to uncertainty over potential government regulation.
Bitcoin’s price could exceed $50 000 over the longer term as the digital asset vies with gold for investment flows, according to cryptocurrency exchange Luno and brokerage OSL.
As bitcoin begins testing levels last seen at the peak of the end-of-2017 bubble, South Africa has yet another cryptocurrency exchange in an increasingly crowded market.
Cryptocurrency exchange Luno, previously backed by Naspers but now owned by Digital Currency Group, has launched a savings wallet, offering customers interest of up to 4%/year on their bitcoin holdings.
Having built a customer base of five million in more than 40 countries since launching in Cape Town in 2013, Luno came to dominate the cryptocurrency market in South Africa and other countries.
Naspers-backed cryptocurrency exchange Luno has been acquired by New York-based digital asset investment firm Digital Currency Group.
Naspers-backed cryptocurrency platform Luno is expanding into Australia as bitcoin rallied 59% this year amid the coronavirus pandemic.
Bitcoin slid below $9 000 on Monday for the first time since May, joining a downdraft in global equities amid growing concern about the risks of a second wave of coronavirus infections.
Naspers-backed cryptocurrency platform Luno is in talks about expanding in Kenya and Ghana to extend its African footprint, as bitcoin rallies 99% over the past two months amid the coronavirus pandemic.