Complaints against cryptocurrency assets providers can now be investigated by the Financial Advisory and Intermediary Services ombud.Cryptocurrency prices have soared since the beginning of the new year.Complaints against crypto asset providers can now be investigated by the office of the Financial Advisory and Intermediary Services ombud, adding to oversight of the digital asset class.
The decision, announced by the office of the FAIS ombud on Tuesday morning, follows last year’s declaration by the Financial Sector Conduct Authority that crypto assets are a financial product under the FAIS Act. That move has brought crypto asset providers under the jurisdiction of the FSCA, and by extension the FAIS ombud, whose mandate is to investigate and resolve complaints in terms of the FAIS Act, which regulates the rendering of certain financial advisory and intermediary services to clients.
The office of the FAIS ombud said that it is"committed to resolving complaints in a procedurally fair, informal, economical, and expeditious manner, with reference to what is equitable in all circumstances". According to its latest annual report, the office of the FAIS ombud received 11 827 complaints in the 2021/22 financial year, of which 4 957 were dismissed, 3 791 were referred to alternative bodies, and 1 269 were settled in favour of the complainant. Only 17 complaints, or 0.14%, related to cryptocurrencies.A deep dive into the big business story of the week, as well as expert analysis of markets and trends.