The Financial Sector Conduct Authority (FSCA) of South Africa confirmed on Monday that it has granted cryptocurrency licenses to 75 institutions. This announcement comes amidst claims from several crypto businesses asserting themselves as the first and only entities to receive such licenses. The licenses are issued under the Financial Advisory and Intermediary Services (FAIS) Act, which governs crypto asset service providers (CASPs).

The FSCA clarified that its licensing powers are limited to CASPs providing financial services related to crypto assets, including advice, intermediary, and investment management services. However, the watchdog emphasized that this does not imply recognition of crypto assets as legal tender by the South African Reserve Bank.

Entities such as Luno, Altcoin Trader, and VALR are among those that have received crypto licenses in South Africa. Despite receiving over 374 applications from CASPs, the FSCA has approved only 75 licenses after two years of groundwork. The regulator pledged to provide regular updates as it continues to process and approve applications.

However, notable absence from the list of license holders is Binance, one of the world's largest crypto exchanges. Binance established its presence in South Africa in July 2022 but did not secure a crypto license from the FSCA. The exchange had previously announced the termination of some services in the country to comply with regulations after the regulator warned about the risks associated with engaging with the "Binance Group."

According to the FSCA, Binance is not authorized to offer any financial services or conduct business in South Africa. Furthermore, South Africa does not currently regulate crypto-related investments. In addition to regulatory challenges, crypto investors in South Africa also face new taxes imposed by the South African Revenue Service (SARS), with rates reaching up to 45%.