South Africa’s financial regulator Financial Sector Conduct Authority wants more power to enforce control on the trading of cryptocurrencies in South Africa following the collapse of a Ponzi scheme alleged to be the largest in the county so far.

Mirror Trading International had claimed to be a Bitcoin trader with 260,000 members and 23,000 Bitcoin worth about $740 million in South Africa’s Rand. It was placed in provisional liquidation in December after clients could not withdraw their funds.

However, two staff of MTI are still of the opinion that the FSCA has not yet confirmed the company to be a Ponzi scheme.

They stated in an email that the CEO of MTI Johann Steynberg who has allegedly fled to Brazil, moved the company to crypto-trading because it could not meet up with the requirement for licensing set by the South African government to operate.

Speaking to Bloomberg, the head of FSCA Brandon Topham said proposals to regulate trading in Bitcoin, Ethereum, XRP, litecoin and other cryptocurrencies are in the pipeline.

The current price of bitcoin is $30,353.91, declining by 3.90% in the last 24 hours. Bitcoin has a current market cap of $564.62B and market volume of $43.30B. In the last 24 hours, bitcoin has dropped to $30,097.94 and experienced a $32,939.54 high.  Currently, 18,611,900 bitcoins are in circulation.

Stats and Image from Coin Desk

Topham believes strict actions from the government will help curb the spread of Ponzi schemes.

“At the point, something becomes a Ponzi scheme we have lost our jurisdiction. We need the police and the prosecuting authority to work fast and put people in jail.”

Earlier last year, Texas Security Commission shut down activities of Mirror Trading International in Texas, after recruiting multilevel marketers to illegally sell fraudulent investments in a bitcoin and forex pool.