FSCA warns the public against Binance Group

According to the FSCA, the group is not authorised to give any financial advice or render any intermediary services. File photo.

According to the FSCA, the group is not authorised to give any financial advice or render any intermediary services. File photo.

Published Sep 3, 2021

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THE FINANCIAL Sector Conduct Authority (FSCA) has warned the public to act with caution when dealing with Binance Group.

According to the FSCA, the group is not authorised to give any financial advice or render any intermediary services in terms of the Financial Advisory and Intermediary Services Act, 2002 (FAIS Act) in South Africa.

The financial regulator said the company is international and is based in Seychelles.

"It has a telegram group that members of the South African public can join to gain access to their cryptocurrency exchange platform," FSCA said in a statement.

The FSCA said it would like to caution that in addition to this entity not being authorised to provide any financial services or business, crypto-related investments are currently not regulated by the FSCA or any other body in South Africa.

"As a result, if something goes wrong, you’re unlikely to get your money back and will have no recourse against anyone. Members of the public should always check that an entity or individual is registered with the FSCA to provide Financial Advisory & Intermediary Services and what category of advice it is that the entity is registered to provide,“ FSCA said.

The FSCA reminded consumers who want to conduct financial services business with an institution or person to check beforehand with the FSCA on either the toll-free number 0800 110 443 or www.fsca.co.za whether or not such institution or person was authorised to render financial services, and the financial products for which they were licensed.

BUSINESS REPORT ONLINE

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cryptocurrency