On 28 January 2021, the Intergovernmental Fintech Working Group (IFWG) announced that crypto innovator, Xago, has been accepted into the inaugural cohort of the IFWG Regulatory Sandbox to test the regulatory treatment of crypto assets (specifically Ripple’s XRP) in terms of the South African Exchange Control Regulations 1961, promulgated in terms of section 9 of the Currency and Exchanges Act, 1933. For full details, visit the IFWG website.
Since its inception, Xago has welcomed clear, appropriate and fair regulation.
Jurgen Kuhnel, CCO and Mark Chirnside, CEO and both Co-Founders of Xago, have been working closely with the relevant stakeholders within the IFWG during the last year as part of a process that has culminated into Xago being accepted into the inaugural cohort of the Regulatory Sandbox. Chirnside confirms their views on being supportive of regulation, “Xago has been amongst the first to stand in line to work with the IFWG regulators to bring the regulatory treatment of crypto assets under observation and we are proud and honoured to be accepted to participate as it bears testimony to the respect for and the credibility of our company in the domestic and global fintech space.”
Xago has always and will continue to require all clients to comply with the Financial Intelligence Centre Act (FICA) in order for us to maintain strict Know Your Customer (KYC) and Anti-Money Laundering standards.
The collaboration with the IFWG will test effecting cross-border transactions using XRP as the underlying value transfer mechanism between South Africa and the United Kingdom, and the United Kingdom and South Africa, subject to certain limits prescribed by the relevant authorities, and reporting on such transactions to the relevant authorities.
For more information, please contact Mark Chirnside, CEO & Co-Founder here.