{
  "id": 4837836,
  "title": "Digital finance growth puts spotlight on consumer education",
  "url": "https://urgent.news/2026/09/01/digital-finance-growth-puts-spotlight-on-consumer-education",
  "topic": "tech",
  "section": "Tech",
  "published": "2026-09-01T09:49:53.000Z",
  "source": {
    "name": "ITWeb",
    "slug": "itweb",
    "url": "https://www.itweb.co.za/article/digital-finance-growth-puts-spotlight-on-consumer-education/j5alrMQAog1MpYQk"
  },
  "original_language": "en",
  "account": "The rise of digital financial services in South Africa has transformed how individuals manage their money, but it has also brought new challenges in consumer protection and literacy, according to Chanal Subramoney, group senior compliance manager at Yellow Card. Subramoney's remarks come during Money Smart Week, an initiative of the National Consumer Financial Education Committee (NCFEC), which is coordinated by National Treasury and the Financial Sector Conduct Authority to promote financial awareness across South Africa. The week, which ran from August 24 to 30, focused on the theme \"Money Smart: The Power of Possible\" and included events across the country to enhance financial literacy.\n\nSubramoney highlighted that criminals are rapidly innovating alongside the industry's digital expansion, making it essential for consumer education to keep pace. She noted that the emergence of digital wallets, cryptocurrencies, and stablecoins has introduced unfamiliar terminology that scammers exploit to their advantage. Subramoney cited instances where hundreds of millions of rands have been lost by South Africans due to fake investment schemes promising guaranteed returns from cryptocurrencies. These schemes capitalize on the confusion surrounding how digital assets function. She emphasized that the majority of such harm occurs on unlicensed platforms through fake applications, unregistered brokers, and social media offers, which serve as warning signs for consumers to exercise caution.\n\nStablecoins, in particular, pose a nuanced risk. Subramoney advised consumers to understand what asset or currency a stablecoin is pegged to, whether it is backed by verifiable reserves on a one-to-one basis, and whether the issuer is licensed and transparent. She explained that a stablecoin from a regulated, audited provider differs significantly in risk profile from one issued by an anonymous source, even if they appear identical in an application. Subramoney urged consumers to follow three steps before engaging with any new digital financial service: verify the provider's registration on the Financial Sector Conduct Authority (FSCA) register, ensure that client funds are held separately from company assets, and understand the recourse process for complaints or losses. She stressed that any promise of guaranteed or unusually high returns should be treated as a red flag.\n\nWhile digital financial tools offer significant benefits such as reduced fees, faster cross-border transactions, and improved access, Subramoney stressed that being \"money smart\" involves balancing curiosity with caution. She advised consumers to be confident enough to utilize these tools while remaining vigilant about their background, regulatory oversight, and the protective measures in place in case of issues.",
  "summary": "Money Smart Week South Africa 2026 promoted digital financial literacy amid rising adoption of crypto and stablecoins.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}