FSCA Warns Public Against Weownomy

The Financial Sector Conduct Authority (FSCA), South African financial markets regulator, has warned the public to act with caution when dealing with Weownomy.

The FSCA received information from a member of the public that has raised material concerns. According to their platform (Weownomy.global), Weownomy is a social platform where users are offered the option of buying shares. Shareholders are then promised a portion of money paid by advertisers on the platform.

Weownomy is not authorised as a financial services provider in terms of the FAIS Act. The FSCA is of the view that it is likely that the entity is conducting financial services business and requires a financial services provider licence from the FSCA, to conduct business in South Africa. It is therefore highly likely that they are conducting unregistered business, which is a criminal offence.

The FSCA warns that members of the public should always check that an entity or individual is registered with the FSCA to provide Financial Advisory & Intermediary Services and what category of advice it is that the entity is registered to provide. 

It again reminds consumers who wish to conduct financial services with an institution or person to check beforehand with the FSCA as to whether or not such institution or person is authorised to render financial services.