Such services operated in the past in a legal and regulatory grey area, and often in contravention of the terms of service of banks’ online platforms. Regulation has started to catch up with the new technology.
Furthermore, a number of prominent South African companies have been allowed to shift their primary listing to foreign securities exchanges, thereby making it easier for them to borrow money or issue shares in those markets. People who had previously illegally built up foreign assets were also granted amnesty to declare and legalise such asset holdings. Numerous persons made use of this opportunity.