South Africa Shifts Focus on Cross-Border Crypto Rules

South Africa's National Treasury and the South African Reserve Bank (SARB) are revising their approach to regulating crypto assets, signaling a shift from restrictive ownership rules to clearer guidelines for cross-border transactions.

The revised draft of the Capital Flow Management Regulations extends the public comment deadline to June 30, 2026, and clarifies that the proposed rules do not intend to criminalize possession of crypto assets or apply retrospectively. This change is seen as an attempt to provide greater certainty in a sector that has long operated in a regulatory grey area.

Industry players view this move as a positive step towards more practical regulation. Mark Diuga, CEO of Bitexen South Africa, notes that the updated statement 'moves the discussion away from fear about crypto ownership and towards the practical work of defining lawful cross-border activity.'