VALR, the Pantera-backed crypto exchange headquartered in Johannesburg, announced that it has been granted both a Category I and Category II license by the Financial Sector Conduct Authority (FSCA) of South Africa as a Crypto Asset Service Provider (CASP). This milestone makes VALR one of the first crypto asset platforms to receive regulatory approval in both categories in South Africa.
The FSCA opened CASP license applications in June 2023, giving crypto asset providers six months within which to apply for a license to be compliant with South African regulations.
The South African regulatory authority has established a regulatory framework for CASPs, a sector encompassing crypto asset exchanges, wallet providers, custodians and other providers of financial services in respect of crypto assets.
By licensing and regulating these entities, the country aims to foster trust, protect investors and consumers, and promote sustainable growth within the crypto industry.
VALR, founded in 2018, is now the largest crypto asset exchange in South Africa and the African continent as a whole, by trade volume. The exchange serves over 1000 corporate and institutional clients and more than half a million traders globally.
The platform caters to both professional and retail traders, offering an array of crypto trading services and one of the most advanced Application Programming Interfaces (APIs) in the industry, used by algorithmic and high-frequency traders.
Farzam Ehsani, the Co-Founder and CEO of VALR, said: “Obtaining the CASP license from the FSCA is a monumental achievement for VALR. Over the past six years, we have actively collaborated with the South African regulators who have now pioneered a regulatory regime, allowing innovation to flourish while protecting the public interest. Our license underscores our unwavering dedication to compliance, security, and providing a trustworthy platform for the crypto community. We welcome this regulatory milestone for South Africa and applaud the regulators for taking this important step for the nation.”
