The ODP license enables VALR to provide a range of over-the-counter derivatives, including Contracts for Difference (CFDs) with underlying assets such as crypto assets, currencies, commodities, shares, and indices. The FSP licensing allows VALR to extend its offerings to traditional financial products, including deposits, shares, bonds, and securities.
VALR, the largest crypto exchange in South Africa by trade volume, has been granted an Over-The-Counter Derivatives Provider (ODP) license as well as an additional Financial Services Provider (FSP) License by South Africa’s Financial Sector Conduct Authority (FSCA).
This approval positions VALR as one of the first entities in South Africa to offer these categories for crypto assets.
This development follows VALR’s earlier achievement in April 2024, when it became one of the first crypto asset service providers (CASPs) in South Africa to receive both Category I and Category II licenses from the FSCA.
Farzam Ehsani, Co-Founder and CEO of VALR, commented:
“This ODP license represents a critical step in integrating crypto assets with established financial instruments, allowing us to deliver secure and compliant products to our clients.
It underscores our commitment to regulatory excellence and operational integrity and we’re very excited about introducing more and more products that serve our users.”
For South Africa, this license advances the nation’s regulatory framework for digital assets, fostering greater financial inclusion and innovation in a market where crypto adoption is rapidly growing. It positions South Africa as a pioneer in Africa for regulated crypto derivatives.
From a broader crypto industry perspective, the approval highlights the maturing integration of crypto with traditional finance, enabling more sophisticated risk management and trading strategies. This reduces barriers for institutional and retail participants, promoting wider adoption and optionality in global markets.
Founded in 2018 and headquartered in Johannesburg, VALR is a global crypto exchange backed by leading investors including Pantera Capital, Coinbase Ventures, and Fidelity’s F-Prime.
VALR offers a comprehensive suite of products, including Spot Trading, Spot Margin, Perpetual Futures, Staking, Lending, Borrowing, OTC services, VALR Invest, and VALR Pay.
Licensed by South Africa’s FSCA and with regulatory approval in Europe, VALR serves over 1.6 million users and 1,800 corporate and institutional clients worldwide. The exchange is dedicated to advancing a just financial future.
