South Africa Issues Guidance on Travel Rule Implementation for Crypto Asset Businesses
CryptoNewsTerminal Staff28 May, 2024
South Africa Issues Guidance on Travel Rule Implementation for Crypto Asset Businesses
The Financial Intelligence Centre (FIC) of South Africa has issued guidance on the implementation of the travel rule for crypto asset service providers, as reported by Bitcoin.com. This move affects the 75 businesses recently licensed by the Financial Sector Conduct Authority (FSCA). The travel rule mandates that virtual asset service providers (VASPs) collect and share certain information with each other when facilitating transactions. This includes the origin and destination of the virtual assets, as well as the identities of the sender and recipient. The FIC's guidance outlines the specific requirements that VASPs must comply with in order to implement the travel rule. These include: Establishing and maintaining a system for collecting and sharing the required information Conducting customer due diligence to verify the identities of their customers * Keeping records of all transactions for a period of five years. The FIC's guidance is an important step in ensuring that South Africa's crypto asset sector is compliant with international standards.
