Central bank of South Africa drafting new rules for cryptocurrency

South African Banks and Cryptocurrencies

Central bank of South Africa drafting new rules for cryptocurrency

Some of the countries in the African continent are already buckling their shoes to key into the concept of cyrptocuurencies while some like Nigeria is still sleeping. Nigeria as a country banned banks from dealing in cryptocurrencies.

But the central bank of South Africa is about to introduce new rules to govern the use of cryptocurrency in the African country.

Per Business Report, the South Africa Reserve Bank (SARB) is readying itself to deploy the new rules early next year.

Kuben Naidoo, SARB deputy governor reportedly told the press last week that the rules bring the 5-year-long consultation period on the topic of digital assets to an end.

The bank is taking actions to prevent cryptocurrency from being used to evade currency controls. The new regulations would see to how much local currency can be sent outside the country.

Local banks in the country have already started tightening their grip on cryptocurrencies in the country.

First National Bank (FNB), one of South Africa’s biggest banks shut down the accounts of all companies dealing in cryptocurrencies.

In a statement, FNB said it took the course of action following a review of the risks associated with companies that handle cryptocurrency.

Africa has been said to be the continent that will determine the future of cryptocurrency though the idea of cryptocurrency is yet top be perceived by as serious by some of the countries in the continent.

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