The Financial Advisory And Intermediary Services Office In South Africa is now capable of dealing with any digital money transaction-related disputes. October 19, 2022.
Virtual Currency Now Viewed As Financial Product
The FAIS Office, which is responsible for addressing under-reported issues as per Section 103 Constitution, declared that it is now able to investigate cases involving registered financial services providers giving advice about crypto assets. This is because virtual currency can now be viewed as a financial product.
The FAIS Office proclaimed in an official statement that grievances against registered parties can only be made to Financial Service Providers that abide by the Code of Conduct For Authorized FSPs, which includes disclosure, assessing the customer’s needs, and recommending a proper product.
Limitations On Complaints
Thuso Ngwagwe, FAIS Ombudsman, told Moneyweb that not all grievances are acceptable. Prior to the Financial Sector Conduct Authority, because virtual currencies are financial products, the agency was not able to handle any disputes.
“All complaints received before October 19, 2022 concerning investments in cryptocurrency were declined by this Office as we lacked the authority to tackle these matters,” Ngwagwe said.
Ngwagwe Added that during the 2022/23 financial year, the Office of the Ombudsman received a total of eight cryptocurrency-related cases. However, only three of them happened after October 19, 2022, and the other five cannot be processed and cannot be submitted again.
For those with issues, the FAIS Office encourages them to go to the website and file a formal complaint.
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