Bitcoin is not a currency? South Africa to Regulate Crypto as a Financial Asset
The Reserve Bank of South Africa will regulate cryptocurrencies as financial assets, and new laws are expected in the coming next 12 months.
New
The South African Reserve Bank is set to introduce regulations next year that will see cryptocurrencies classified and treated as financial assets to balance investor protection and innovation.
Cryptocurrency usage in South Africa is in a healthy space, with an estimated 13% of the population owning some form of cryptocurrency, according to research by global exchange Luno. With over six million people in the country exposed to cryptocurrency, regulation of the space has long been a topic of discussion.
Companies or individuals seeking to provide advice or intermediary services involving cryptocurrencies must currently be recognized as financial service providers. This involves meeting a number of checkboxes to comply with the global guidelines set out by the Financial Action Task Force.
South Africa's National Treasury Budget Review released in February 2022 officially introduced the decision to declare cryptocurrencies as financial products. The state also plans to improve monitoring and reporting of cryptocurrency transactions to comply with foreign exchange regulations in the country.
The Deputy Governor of the South African Reserve Bank, Kuben Chetty, has now confirmed that new legislation will be introduced within the next 12 months, speaking on Tuesday in an online series hosted by the company. PSG local investment. This will see cryptocurrencies fall under the purview of the Financial Intelligence Center Act (FICA).
This is important, as it will allow the sector to be monitored for money laundering, tax evasion and terrorist financing, which...
The Reserve Bank of South Africa will regulate cryptocurrencies as financial assets, and new laws are expected in the coming next 12 months.
New
The South African Reserve Bank is set to introduce regulations next year that will see cryptocurrencies classified and treated as financial assets to balance investor protection and innovation.
Cryptocurrency usage in South Africa is in a healthy space, with an estimated 13% of the population owning some form of cryptocurrency, according to research by global exchange Luno. With over six million people in the country exposed to cryptocurrency, regulation of the space has long been a topic of discussion.
Companies or individuals seeking to provide advice or intermediary services involving cryptocurrencies must currently be recognized as financial service providers. This involves meeting a number of checkboxes to comply with the global guidelines set out by the Financial Action Task Force.
South Africa's National Treasury Budget Review released in February 2022 officially introduced the decision to declare cryptocurrencies as financial products. The state also plans to improve monitoring and reporting of cryptocurrency transactions to comply with foreign exchange regulations in the country.
The Deputy Governor of the South African Reserve Bank, Kuben Chetty, has now confirmed that new legislation will be introduced within the next 12 months, speaking on Tuesday in an online series hosted by the company. PSG local investment. This will see cryptocurrencies fall under the purview of the Financial Intelligence Center Act (FICA).
This is important, as it will allow the sector to be monitored for money laundering, tax evasion and terrorist financing, which...
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