Bybit expands into South Africa following UK exit
Dubai-based cryptocurrency exchange Bybit has officially launched its crypto derivative products and a new fiat on-ramp service in South Africa.
These services will be offered through Bybit’s juristic representative, Money Doc (Proprietary) Limited, which is an authorized financial services provider and a registered South African company. Users in South Africa will be able to deposit the rand currency (ZAR) via bank transfers as part of this new offering.
While it sees South Africa a fantastic opportunity to continue its geographic expansion, Bybit looks to see how the local market takes up the product offering and what unique selling points the exchange can provide.
South Africa enjoys a strong and well-organized financial market and therefore has become a popular destination for digital asset platforms looking to expand. It is one of the world’s top ten capital markets and boasts thousands of investors. The country itself is a diverse market that is largely devoid of the market saturation seen in other jurisdictions such as Europe.
Joshua Yau, the regional manager for Africa at Bybit, commented on the exchange’s entry into the South African market. “This marks a significant milestone for Bybit as we bring access to global leading products to the passionate crypto community in South Africa in line with regulatory requirements. This marks an important step in our compliance efforts. We are committed to providing a secure and seamless trading experience, industry-leading trading tools, and low-cost access that empower our users.”
Ben Zhou, Co-founder and CEO of Bybit added: “Our expansion into South Africa reaffirms Bybit’s mission to make cryptocurrency trading accessible to all and to be compliant with local regulations. We believe in the power of blockchain technology to revolutionize finance, and this expansion represents another step towards achieving that vision.”
South Africa is set to mandate that cryptocurrency exchanges in the country obtain licenses by the end of the year, according to the Financial Sector Conduct Authority (FSCA). The regulator has already received around 20 license applications since opening the process a few months ago, and more are expected before the November 30 deadline. FSCA Commissioner Unathi Kamlana warned that enforcement action, including the closure or fining of firms, will be taken against exchanges that continue to operate without a license after the deadline.
The move comes shortly after Bybit suspended its cryptocurrency services for users in the United Kingdom due to impending regulations from the country’s Financial Conduct Authority (FCA).
Starting on October 1, Bybit ceased accepting new account applications from UK residents. On October 8, it will further suspend new deposits, new contracts, and changes to positions for existing users in the UK.
