South Africa is set to introduce a new framework for cross-border cryptocurrency transactions, part of a broader push by governments, private and global corporations to tighten oversight of digital assets.
Finance Minister Enoch Godongwana confirmed that the South African Reserve Bank (SARB) will publish the long-awaited rules before the end of 2025.
The framework will specifically target crypto asset service providers (CASPs), either foreign or local exchanges operating in the country, and define how they manage cross-border flows of digital assets.
The move comes in response to a recent court ruling
The push comes after a May ruling by the Pretoria High Court, which declared that existing exchange control rules did not apply to cryptocurrencies.
Judge Mandlenkosi Motha argued that crypto is not legally classified as money, but rather an asset beyond traditional borders.
While the SARB has appealed the ruling, regulators are moving to avoid a legal loophole.
“The framework will set parameters, conditions, administrative responsibilities, and reporting requirements for cross-border crypto transactions,” Godongwana explained as quoted by Mariblock.
“Further, the National Treasury is currently engaging the SARB on updating and strengthening the exchange control legislative framework to enable the above framework.”
According to the Minister, the priority is to prevent illicit financial flows, ensure consumer protection, and stop the circumvention of exchange controls while still leaving space for innovation.
Since December 2022, CASPs have been designated accountable institutions under the Financial Intelligence Centre Act, binding them to anti-money laundering and counter-terrorist financing rules.
In addition, beginning October 9, Google will enforce stricter rules on cryptocurrency apps listed on the Play Store.
Developers wishing to publish exchanges or wallets must now demonstrate compliance with licensing requirements in their jurisdictions—or risk removal.
The tech giant’s new update, which directly affects markets like the United States and South Africa, emphasises accountability and transparency, mirroring the SARB’s upcoming framework.
“South Africa is determined to approach crypto innovation responsibly,” Godongwana stressed, adding that collaboration between SARB, the FSCA, the Prudential Authority, and the National Treasury is critical to crafting effective policy.
Impact on South African exchanges and investors
For exchanges like Binance, Luno, and VALR, the dual impact of SARB’s rules and Google’s app policy could reshape their interactions with South African customers.
Platforms can no longer rely on outdated legal ambiguities or loose distribution channels; instead, they must comply with precise conditions on reporting, settlement, and cross-border transfers.
The rules could also significantly impact investors. Trading and moving assets across borders will require clearer procedures, stricter reporting, and potentially higher compliance costs.
While this may initially slow activity, it could also legitimise the sector and attract institutional players wary of regulatory grey areas.
Together, these moves highlight a coordinated tightening of the global crypto industry—where governments and corporations are taking parallel steps to close loopholes, protect consumers, and shape the future of finance.
When SARB’s framework is in place and Google’s October 9 policy goes live, crypto companies will operate in an environment where regulators and digital platforms demand accountability.