South African regulator FIC tightens crypto asset transfer rules with latest directive

South Africa’s Financial Intelligence Centre (FIC) has proposed a directive on the transfer of crypto assets. The directive follows the South African Financial Sector Conduct Authority’s licensing of 75 crypto asset service providers (CASPs). The FIC aims to tighten regulation by requiring CASPs to implement more detailed and stricter requirements for digital transactions. The scope of the directive applies to institutions that facilitate domestic or cross-border transfers of crypto assets. CASPs acting as intermediaries must comply with a new “travel rule” that requires the exchange of specific transaction details. The goal is to increase detection of illegal digital crypto transactions, but there are still concerns about centralization and data privacy risks when sharing sensitive information with external crypto exchanges. (Bitcoin.com)