South African cryptocurrency exchange control proposals

South Africa’s National Treasury and the South African Reserve Bank (SARB) have introduced a draft Crypto Asset Manual to regulate cross-border cryptocurrency and stablecoin flows. The proposal aims to manage these assets through the SARB’s Financial Surveillance division.

Initial drafts indicated that all cross-border transfers must be processed through authorized service providers and reported to the central bank. Under these rules, resident companies would be barred from importing or exporting crypto assets, a practice labeled as “non-permissible.” Individuals would be restricted to moving crypto offshore only within existing foreign-currency allowances.

Subsequent details of the proposal specify that outbound transactions to self-hosted wallets would be classified as offshore transactions subject to exchange control limits. Licensed domestic crypto asset service providers (CASPs) would be required to report such transfers. Specific limits were outlined, including daily and monthly caps on remittances, and annual limits on asset transfers ranging from R2 million to R10 million for tax-compliant individuals. These measures follow legal challenges regarding the classification of cryptocurrencies under existing exchange control regulations. The consultation period for the manual is scheduled to conclude at the end of September.