The Financial Sector Conduct Authority (FSCA) of South Africa issued a public warning on Friday, stating that Binance Group, the owner of the world's largest cryptocurrency exchange, is "not authorized to give any financial advice or render any intermediary services in terms of the Financial Advisory and Intermediary Services Act."
In response to a warning from South Africa's Financial Sector Conduct Authority, Binance, a major cryptocurrency exchange, has stated that it is in conformity with local regulators and does not provide financial advice or intermediary services to residents.
"Binance promptly answered, "We don't acknowledge your authority in any case."
The exchange further denied charges that South Africans used the Binance South Africa Telegram channel to obtain access to the crypto exchange's services, claiming that the online community promoted blockchain education but did not offer financial advice or services.
The exchange stated, “Binance.com is registered with the FIC as a voluntary self-disclosure institution.”
“Binance complies with the FIC Act responsibilities related to establishing and confirming customer identities, maintaining records,and reporting suspicious or anomalous transactions.”
The FSCA warned the South African public to be cautious of any investments involving Binance Group, which it characterised as a “international company” based in the Seychelles. However, according to Binance's statement, the corporation has no linked organisation in the archipelago nation with that name.