- South Africa’s FSCA apologized to Ovex exchange after warning that it has no financial service license.
- The FSCA apology came less than 24 hours after exposing Ovex publicly.
South Africa’s Financial Sector Conduct Authority (FSCA) has apologized to Ovex exchange after claiming that Ovex does not have a financial service license for its operation.
Of note, the FSCA apology came less than 24 hours after exposing Ovex publicly.
Based on the information provided by Ovex we are satisfied that Ovex does not currently require a license from the FSCA, as its business activities fall outside the current jurisdiction of the FSCA. The previous media release has been retracted.
Along with the Ovex investigation, the FSCA’s head of enforcement Brandon Topham heavily supported the regulators at the start. Meanwhile, discussing this, Topham eventually accepted that the FSCA warning did not necessarily refer to Ovex as “operating unlawfully”.
Instead, they presented the warning for investors to be cautious when dealing with Ovex. Even if they claim to be able to generate high possible returns.
A FSCA executive has admitted that the regulators rashly issued the Ovex warning. Therefore, for any inconvenience caused, the FSCA will add amendments to the warning statement.
Furthermore, Ovex says that the FSCA did not even give them time to respond prior to issuing the warning. Even more, until they resolve the issue, Ovex has suspended its advertising efforts.