The new regulatory framework in South Africa allows the government to tax crypto returns and address risks related to money laundering and terrorist financing.

The Financial Sector Conduct Authority (FSCA) classified crypto assets as financial products in October 2022, paving the way for licensing applications that opened in June 2023.

The establishment of this framework follows the South African Reserve Bank's efforts since November 2018 to provide regulatory clarity for the crypto industry.

The company operates in 20 African countries and has facilitated over $3 billion in transactions, demonstrating significant growth in the region.

In January 2024, Yellow Card partnered with Coinbase to provide access to USDC and digital assets, enabling local currency payments through bank transfers and mobile money.

In addition to its South African operations, Yellow Card is in discussions with Nigeria’s Securities and Exchange Commission for a crypto license under the Accelerated Regulatory Incubation Programme.

Yellow Card, a pan-African stablecoin infrastructure company founded in Nigeria in 2019, has raised $33 million in a Series C financing round and recently secured a Crypto Asset Service Provider (CASP) license in South Africa.

In South Africa, the crypto user base has reached approximately 5.8 million, with stablecoins experiencing a remarkable 50% month-over-month growth since October 2023.

This surge in stablecoin adoption has positioned sub-Saharan Africa as a global leader, boasting a 9.2% adoption rate.

The company has also partnered with Block to enhance access to digital assets and improve cross-border payments across 16 African countries.

Overall, Yellow Card's focus on regulatory compliance and strategic partnerships is driving cryptocurrency adoption and financial inclusion across Africa.

With its new CASP license, Yellow Card aims to explore opportunities within South Africa and the Southern African Development Community (SADC) region.