As South African financial authorities dawdle in the establishment and enforcement of national policies favorable to the acquisition, trading, and management of virtual currencies, cryptocurrency exchanges in the country are starting to look internationally for greener pastures in search of areas with more resolute, propitious legislation.
Cryptocurrency exchanges and financial establishments in South Africa are lamenting the insouciance of the financial authorities of the country as regards making policies and definite legislation backing and regulating financial activities involving virtual currencies in the country.
South African Crypto Business search for greener pastures
This attitude from the government has been regressive towards Cryptocurrency firms in the country and this has, in turn, created distrust in the minds of potential users and investors especially when dealing with exchanges within the country.
Sean Sanders, the CEO of Revix, a Crypto investment management firm, spoke to Bloomberg about the apparent indifference on the part of the South African authorities, citing it as the sole probable reason for the consideration of migration from the country; a potential move by several exchanges.
The fintech expert noted the following:
“In an unregulated environment, a customer arrives at our platform with skepticism and rightfully so.”
This is coming amidst the wailings caused by the crypto scam perpetrated by Mirror Trading International (MTI) in South Africa. According to the recently released 2021 Crypto Crime Report by Chainalysis, the platform robbed investors of a total of 23,000 Bitcoin (currently worth over $1.2 billion) making it one of the biggest crypto scams recorded in the …
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