The South African Reserve Bank (SARB) announces its intention to declare cryptocurrency as a financial product
Written by: Josh Mar Save to Instapaper
By Kenrick Newport, National Manager, Succession Planning at Capital Legacy
The South African Reserve Bank (SARB) recently announced their intention to declare cryptocurrency as a financial product, which is in line with current worldwide trends as well as the Financial Sector Conduct Authority (FSCA) which published a draft declaration of crypto assets as financial products in 2020.
Essentially SARB will regulate cryptocurrency by introducing new regulations around trading cryptocurrency in South Africa within the next 12-18 months. Declaring cryptocurrencies as a financial product means that providers will have to be regarded as accountable institutions under the Financial Intelligence Centre Act, 2001 (FICA) and accordingly will have statutory reporting and monitoring obligations and therefore fall under the purview of the Financial Intelligence Centre (FIC) and be monitored for money laundering, tax evasion, and terrorist financing activities. In addition, being declared as a financial product will mean providers will also fall under the ambit of the Financial Advisory and Intermediary Services Act, 2002 (FAIS), requiring crypto asset service providers to register for a financial services provider licenses under FAIS.
SARB then further plans to develop a regulatory framework for the exchanges in South Africa to allow for crypto listing, which would include traditional banking regulations such as Know Your Customer (KYC) rules and exchange control regulations in respect of reforms to the application of the foreign exchange controls on the export and import of cryptocurrency to and from South Africa.
Ken Newport is the National Manager of Succession Planning at Capital Legacy, SA’s #1 Wills and Estates Specialists.
Capital Legacy offers Wills, Estate Planning and Life Insurance products in South Africa. Get a Free consultation!
Capital Legacy has grown to become the single largest provider of Last wills and Testaments in South Africa with more than 185 000 clients.
This article was first published at https://www.capitallegacy.co.za/the-south-african-reserve-bank-sarb-announces-intention-to-declare-cryptocurrency-as-a-financial-product/
Get new press articles by email
Top Click is one of South Africa’s leading full-service digital marketing agencies. Our custom-built, cutting-edge solutions are targeted to help you attract customers, convert leads and grow your business. From SEO and Google Ads to social media marketing and digital design, our measurable marketing campaigns deliver results – and ensure that, in a cluttered online marketplace, you rise... Read More
Latest from
- Choosing the Right Pet Food for Your Animals
- Managing Contracts With Simpler Tools
- New Website to Keep Up with the Demand for Online Pet Food Delivery in South Africa
- Machines That Make Packaging Easier
- The Role of Transit Solutions in Modern Connectivity
- How to Get Cheaper Car Insurance Without the Stress
- Making Radiology Workflows Simpler with the Right Tools
- Reduce Late Payments with These Practical Tips
- A Simple Guide to Choosing the Right Forklift for Your Business
- Keeping Your Car in Good Shape with the Right Services
- Why Property and Asset Valuations Matter
- Finding Quality Engines and Scrap Yard Services
- Practical Guide to Rooftop Tents
- Practical Uses of Vehicle Awnings
- A Look at Engine Choices Across Popular Car Brands
The Pulse Latest Articles
- Education Is The Frontline Of Inequality, Business Must Show Up (December 11, 2025)
- When The Purple Profile Pictures Fade, The Real Work Begins (December 11, 2025)
- Dear Santa, Please Skip The Socks This Year (December 10, 2025)
- Brandtech+ Has 100 Global Creative Roles For South African Talent (December 9, 2025)
- The Woman Behind Bertie: Michelle’s Journey To Cape Town’s Beloved Mobile Café (December 9, 2025)