Cryptocurrency exchange Luno has become one of the inaugural firms to secure a license from South Africa’s Financial Services Conduct Authority (FSCA), solidifying its status as a recognized financial services provider within the country.

The granting of the financial services provider license to Luno comes in the wake of the FSCA’s classification of crypto assets as financial products under the Financial Advisory and Intermediary Services Act of 2002 (FAIS).

Expressing enthusiasm about this milestone, Christo de Wit, Luno’s South Africa country manager, underscored the significance of being the premier licensed crypto asset service provider in the nation. He emphasized Luno’s decade-long commitment to the crypto market and its dedication to ensuring compliance, safety, and security for its clientele.

Luno, initially launched in 2013, operates as a crypto exchange alongside offering a cryptocurrency investment app, extending its services to over 40 countries across Europe, Africa, Asia, and Australia.

The FSCA’s move to authorize operating licenses for 59 cryptocurrency exchanges signifies a broader regulatory framework taking shape. Out of over 300 South African crypto providers seeking permits, only 59 have met the FSCA’s criteria for approval. As per regulatory mandates, digital asset exchanges must obtain permits to conduct operations within the country.

In alignment with its stance on regulatory oversight, the FSCA had previously classified cryptocurrency assets as financial products in 2022, underscoring the necessity for regulation to safeguard financial consumers and combat illicit financial activities like money laundering and terrorism financing. Exchanges were given until November 30 to apply for licenses, failing which they risked enforcement actions.

The FSCA’s approach to regulating crypto assets, outlined in 2021, emphasizes a phased and structured integration into the South African regulatory landscape. With a surge in retail interest in crypto assets, the FSCA remains vigilant against instances of consumer abuse, fraud, and market misconduct, both domestically and internationally. Recent media reports have highlighted schemes exploiting crypto assets, further reinforcing the imperative for regulatory intervention to uphold market integrity.

Featured Image: Freepik

Please See Disclaimer

Auradine, a web infrastructure startup, and Bitcoin miner manufacturer, has secured $80 million in a Series B funding round as it prepares for the upcoming Bitcoin halving event and the shipment of its Teraflux Bitcoin miners.

The funding round, described as “oversubscribed,” saw participation from a range of investors, including StepStone Group, Top Tier Capital Partners, MVP Ventures, Maverick Capital, Celesta Capital, Mayfield Fund, and Marathon Digital, among others. According to Auradine, the round exceeded its initial target of $70 million due to heightened investor interest.

CEO and co-founder Rajiv Khemani disclosed that the Series B round comprised $60 million in equity and $20 million in debt, mirroring the structure of Auradine’s previous Series A round, which totaled $81 million. While Khemani refrained from commenting on the company’s current valuation, he expressed confidence in Auradine’s trajectory towards potentially reaching a $1 billion valuation in the future.

Auradine’s Series B funding comes ahead of the anticipated Bitcoin halving event, which is expected to occur next week. Khemani noted that the company has already secured $80 million in bookings and boasts an order pipeline exceeding $200 million, driven by robust demand for its Teraflux bitcoin miners.

With a focus on energy efficiency and demand response, Auradine anticipates that its products, particularly its EnergyTune capability and energy-efficient silicon, will align well with post-halving market dynamics.

Established in 2022 and headquartered in California, Auradine introduced its Teraflux bitcoin miners in November last year. The company has since supplied its machines to over 30 prominent data-center-scale miners. Notably, Auradine emphasizes the importance of designing its bitcoin miners in the U.S. to ensure decentralized supply and enhance national security amid geopolitical challenges.

While Bitcoin miners constitute Auradine’s inaugural product line, the company is exploring opportunities to expand into other sectors, including blockchain and artificial intelligence. Khemani revealed that Auradine is actively developing additional product lines within these domains, aiming to deliver innovative solutions soon.

Currently employing approximately 75 individuals, Auradine plans to expand its workforce, particularly in research and development and supply chain operations, to support its growth initiatives.

Featured Image: Freepik

Please See Disclaimer

International cryptocurrency exchange platform Coinbase has introduced an easier way for UK customers to engage in cryptocurrency transactions with the launch of Apple Pay integration.

The announcement, made on Wednesday, reflects Coinbase’s commitment to fostering greater crypto adoption in the UK.

Apple Pay Integration Facilitates Crypto Transactions in the UK

The UK holds significant importance for Coinbase, witnessing over $1.39 billion in cryptocurrency gains last year alone. The introduction of Apple Pay integration is poised to streamline the process of buying and selling cryptocurrencies for UK residents.

Daniel Seifert, Coinbase’s Country Director for the U.K. and Vice President, of EMEA, expressed pride in the announcement, emphasizing that the integration allows UK users to leverage Apple Pay for easy, secure, and private cryptocurrency transactions online and in-app. Seifert highlighted the alignment of this move with Coinbase’s overarching goal of enhancing accessibility to digital assets in the UK.

Challenges and Opportunities in the Crypto Market

The launch of Apple Pay coincides with a period of challenges in the crypto market. Coinbase’s latest market commentary report, released on April 5, highlighted a slowdown in crypto volumes as the market seeks new narratives to drive further growth.

However, Coinbase remains optimistic about the market’s prospects, particularly with the upcoming Bitcoin halving event scheduled for April 20 or 21. This event will witness a reduction in the block reward for Bitcoin miners, potentially leading to a decrease in Bitcoin supply and an associated increase in its price.

Positive Developments for Coinbase and the UK Crypto Market

Both the introduction of Apple Pay integration and the impending Bitcoin halving event are viewed as positive developments for Coinbase and the UK crypto market at large.

With its strategic position, Coinbase stands to benefit from the growing interest in cryptocurrencies within the UK. The integration of Apple Pay represents a significant step forward in enhancing accessibility to cryptocurrencies for UK residents, aligning with Coinbase’s mission to make digital assets more accessible globally.

Featured Image: Megapixl

Please See Disclaimer