Binance Imposes New Compliance Rules for South African Users on All Crypto Transfers

In compliance with South Africa’s financial authorities’ regulations, Binance, the world’s leading cryptocurrency exchange, will be imposing new compliance rules for South African users on all crypto transfers from the 30th of April 2025.

Under Directive 9 issued by the South African Financial Intelligence Centre (FIC) in 2024, all Crypto Asset Service Providers (CASPs), including Binance, are mandated to collect and store detailed identity information for cryptocurrency transactions.

The directive stipulates that for transactions exceeding R5,000 (approximately $277), CASPs must record comprehensive personal details, including full names and wallet addresses of both transacting parties. For transactions below this threshold, basic information such as full names and wallet addresses is required. ​

Binance New Compliance Rules for South African Users

Effectively, from the date, Binance users in the country will need to provide more information when sending and receiving crypto on the Binance platform.

🔸#Crypto

Binance has announced that starting April 30, new compliance rules will apply to South African users, requiring sender and receiver information for all crypto deposits and withdrawals to meet local regulatory standards.#SouthAfrica @binance pic.twitter.com/nq0PcA39G2

— LASMAR CORE✴️ (@LasmarCore) April 23, 2025

The implementation of the new rules starts with the need for users to re-login to their Binance accounts as of 24th of April, 2025.

Furthermore, depositing to Binance requires the users to provide the sender’s information when receiving any amount of crypto on their Binance accounts.

Also, withdrawing from Binance accounts requires the account owners to provide the beneficiary’s information when sending any amount of crypto out of their Binance accounts.

The exchange stated, while announcing the new development on the 23rd of April 2025, that the requirements for deposit and withdrawal are a testament to the company’s efforts in ensuring a regulated crypto environment.

In addition, Binance said that the failure of any user to submit the necessary information during the deposit and withdrawal procedures will have the transaction delayed or returned to the originator.

South African Revenue Service Warns Unregistered Crypto Exchanges

In addition to Directive 9’s issuance by the FIC, on April 2, Bloomberg reported that the South African Revenue Service (SARS), to enforce rules against tax defaulters, now requests those engaging in crypto assets transactions to register with the authority.

“We’ve invited taxpayers, exchanges and other intermediaries to register because now if you don’t register, you’re breaking the law,” Edward Kieswetter, the SARS Commissioner, said.

The Commissioner further noted that their registration stamps their legal existence and operations in the country, and that will also help SARS to track their business activities.

Similarly, in an April 1st 2025 report, the FIC groaned about the scarcity of reliable and publicly accessible statistics on crypto assets transactions carried out by payment service providers, participants, merchants and consumers in South Africa.

The FIC lamented that the unavailability of those resources makes proper assessment of the crypto industry more difficult.

Nevertheless, the agency highlighted some available statistics and asked all licensed exchanges to always report unlawful activities on their platform in time.

FSCA Warns the Public Against AfriInvest and MutualWealth

Some days after the FIC report, South Africa’s Financial Sector Conduct Authority (FSCA) issued a warning against AfriInvest and MutualWealth for operating unlicensed crypto schemes in South Africa.

The two self-acclaimed crypto firms promise unrealistic daily returns of R10,000 ($533) through AI-driven crypto trading, similar to the CBEX’s operation in Nigeria.

The FSCA urged the public to avoid unregistered entities and verify financial service providers on its website before committing to investment.

🚨 BREAKING: THE FINANCIAL SECTOR CONDUCT AUTHORITY (FSCA) OF SOUTH AFRICA HAS ISSUED A WARNING AGAINST UNLICENSED CRYPTO INVESTMENT COMPANIES AFRIINVEST AND MUTUALWEALTH. THESE FIRMS PROMISE UNREALISTIC RETURNS OF UP TO R10,000 PER DAY AND FALSELY CLAIM ENDORSEMENTS FROM PUBLIC… pic.twitter.com/jDWJOf4Afm

— Coinwaft (@coinwaft) April 4, 2025

Likewise, Nigeria, Kenya and other African countries are enacting laws to keep crypto space in check and eject bad actors from the industry.