{"id":6047,"date":"2022-07-31T02:08:55","date_gmt":"2022-07-31T02:08:55","guid":{"rendered":"https:\/\/cryptoheretostay.com\/?p=6047"},"modified":"2022-07-31T02:08:56","modified_gmt":"2022-07-31T02:08:56","slug":"regulation-of-cryptocurrency-in-south-africa-should-not-scare-away-investors-experts-say","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=6047","title":{"rendered":"Regulation of Cryptocurrency in South Africa Should Not Scare Away Investors Experts Say"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<\/p>\n<p><strong>Two experts have said they welcome South Africa\u2019s planned regulation of cryptocurrency but warned this should not scare away investors. If the regulation is balanced between the need to protect investors and stimulating interest in crypto investment, this \u201ccould see funds stream into South Africa while growing the country\u2019s burgeoning crypto ecosystem.\u201d<\/strong><\/p>\n<h2>Crypto as a Financial Product<\/h2>\n<p>South Africa\u2019s impending cryptocurrency regulations as well as the central bank\u2019s decision to regulate cryptocurrency as a financial product is welcome as long as this does stimulate interest in crypto investment, two experts have said.<\/p>\n<p>In their joint statement shared with Bitcoin.com News, both Thomas Lobban, the legal manager at Tax Consulting South Africa and Greg Rodrigues, the CFO at a local crypto exchange, Revix, assert that any such regulations must not scare away investors.<\/p>\n<p>The remarks by Lobban and Rodrigues follow reports quoting the deputy governor of the South African Reserve Bank (SARB) Kuben Naidoo who confirmed that the country expects to have regulations in place by end of 2023. As reported by Bitcoin.com News, the SARB had resolved to regulate cryptocurrencies after it had observed that \u201ca lot of money\u201d was flowing into these assets. The objective is to bring them \u201cinto the mainstream.\u201d<\/p>\n<p>Reacting to Naidoo\u2019s comments and his subsequent announcement of when the SARB plans to start regulating cryptos, Lobban said:<\/p>\n<p>Now we know crypto will be seen as a financial product with all the associated controls and requirements in place, including FIC [Financial Intelligence Centre], tax and exchange control compliance.<\/p>\n<p>The FIC is a South African government that is tasked with the monitoring as well as the identification of criminal activity, money laundering and terrorism financing.<\/p>\n<h2>\u2018Crypto Is Global and Highly Fluid\u2019<\/h2>\n<p>For his part, Rodrigues said regulation of the crypto industry is something that Revix not only welcomes but also takes seriously.<\/p>\n<p>\u201cCrypto is global and highly fluid, tending to flow into markets where regulations are welcoming, and just as easily out of those that are not,\u201d the CFO said.<\/p>\n<p>Therefore, South African regulators including the SARB are urged to be wary of pursuing policies that protect investors and overburden them at the same time. According to the two experts\u2019 joint statement, when regulation is balanced, this \u201ccould see funds stream into South Africa while growing the country\u2019s burgeoning crypto ecosystem.\u201d<\/p>\n<p>Meanwhile, Rodrigues pointed to the issue of crypto ownership and custody as one important factor that South African regulators also need to consider. He called for the external independent verification of crypto service providers\u2019 claims relating to the quantity and security of clients\u2019 assets.<\/p>\n<p>Lobban suggested that the SARB needs to engage in public and other stakeholders \u201cto ensure the policies it develops are informed by the interests of all parties who will be affected by them.\u201d<\/p>\n<p><em>Register your email here to get a weekly update on African news sent to your inbox:<\/em><\/p>\n<p>Tags in this story<\/p>\n<p>Crypto Ecosystem, Cryptocurrency regulation, exchange control, Financial Intelligence Centre, Greg Rodrigues, Kuben Naidoo, Money Laundering, Revix, South African Reserve Bank, Tax Consulting South Africa, Thomas Lobban<\/p>\n<p><em><strong>What are your thoughts on this story? Let us know what you think in the comments section below. <\/strong><\/em><\/p>\n<p>Terence Zimwara <\/p>\n<p class=\"article__body__author__info__about\">\nTerence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.<\/p>\n<p><i class=\"td-icon-font td-icon-linkedin\"\/><\/p>\n<p><i class=\"td-icon-font td-icon-twitter\"\/><\/p>\n<p><i class=\"td-icon-font td-icon-telegram\"\/><\/p>\n<p class=\"images_credits\"><em>Image Credits: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n<p><strong>Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<p>More Popular NewsIn Case You Missed It<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/news.bitcoin.com\/regulation-of-cryptocurrency-in-south-africa-should-not-scare-away-investors-experts-say\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Two experts have said they welcome South Africa\u2019s planned regulation of cryptocurrency but warned this should not scare away investors. If the regulation is balanced between the need to protect investors and stimulating interest in crypto investment, this \u201ccould see funds stream into South Africa while growing the country\u2019s burgeoning crypto ecosystem.\u201d Crypto as a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6048,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[1],"tags":[],"class_list":["post-6047","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-updates"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6047","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6047"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6047\/revisions"}],"predecessor-version":[{"id":6049,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6047\/revisions\/6049"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/6048"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6047"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6047"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6047"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}