South Africa’s Central Bank Proposes Rules for Crypto Companies
By Yogita Khatri Crypto exchanges and wallet providers would have to register with regulators under rules proposed by South Africa’s central bank. In a consultation paper published Wednesday, the South African Reserve Bank (SARB) said that regulatory action on crypto assets needs to be prioritized to protect consumers and investors, stating that consumers “are left vulnerable as sellers of crypto assets are not regulated.” Discussing the possible regulatory approaches that could be taken, and citing the “reputational risk” that is faced if mistakes are made, the central bank proposes walking a middle line between doing nothing and stringent regulation or a ban – a level of oversight it describes as “limited regulation.” “At this proposed level, an official body places specific requirements on providers of certain services in respect of crypto assets, without setting predefined conditions for formal authorisation to provide crypto assets-related product...