The announcement comes just days after the South Africa Reserve Bank (SARB) advised financial institutions not to close crypto accounts for exchanges and individuals. SARB approved banks to act as a conduit for funds linked to crypto activity and may also play a role in customers wishing to purchase crypto assets or receive pay-outs for the sale of crypto assets via fiat currency into their bank accounts.
A fiat gateway is sometimes also referred to as an on-ramp, and this is a method that enables users to use fiat currencies to purchase cryptocurrencies. With the ZAR gateway, BINANCE will support direct crypto exchanges with the ZAR, removing the need for users to convert into other supported currencies like $USDT first.
SEE ALSOSouth Africa Reserve Bank Advises Financial Institutions ‘Not to Close Crypto Accounts’
The new offering is expected to let South African users make fast, secure deposits via Instant EFT as Binance remains committed to increasing the adoption and mainstream accessibility of crypto.
Moreover, Binance has indicated that users in South Africa will now be able to deposit South African Rands (ZAR) into their Binance wallet instantly and buy crypto, providing a new and competitive fiat gateway for South Africa.
Speaking on the resumption of Binance services in South Africa, Hannes Wessels, Country Lead, Binance, South Africa, said:
“Our goal at Binance has always been to drive crypto adoption and promote financial accessibility. We are thrilled to be taking this next step in making access to digital assets more effortless for South Africans.”
– Country Lead, South Africa, Binance
Binance which launched in 2017 has quickly spread out in the world, winning millions of crypto users across emerging markets and Africa, and as a result, building a reputation as the largest crypto exchange in the world.
Besides a large user base, Binance has also expanded the number of services it offers and this now spans:
- Trading
- Infrastructure solutions
- Educational resources
- Investment and incubation
- Charity
The addition of the RAND fiat gateway will make Binance more competitive in the South African market where a bunch of local players have more market share.
In 2021, the Financial Sector Conduct Authority (FSCA) of South Africa issued a notice indicting the operations of Binance, urging the public to be cautious and vigilant when dealing with Binance. Soon thereafter, Binance would cease operations in South Africa and shut down its derivatives trading offerings in the country.
The new directions by SARB is obviously welcome as Binance resumes operations in the country.
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