South Africa Proposes Activity-Based Crypto Reporting Framework
The South African Reserve Bank (SARB) and National Treasury have released a draft version of the Crypto Assets Manual for cross-border activities. This manual aims to fill regulatory gaps pertaining to cross-border cryptocurrency transactions.
The proposed framework would supplement current supervision by the South African Revenue Service (SARS), the Financial Intelligence Centre (FIC), and the Financial Sector Conduct Authority (FSCA). It would also give SARB's Financial Surveillance Department (FinSurv) greater visibility into cross-border cryptocurrency flows.
The manual introduces an activity-based reporting framework, which outlines when cryptocurrency activity qualifies as a reportable cross-border transaction. This includes transfers between domestic authorized Crypto Asset Service Providers (CASP) and non-custodial wallets, or between South African authorized CASPs and offshore CASPs.
Pierre Rochard, former Vice President of Research for mining company Riot Platforms, criticized the proposal, stating it is a 'horrible Bitcoin policy' that should make Bitcoin tax-exempt. However, the draft Capital Flow Management Regulations, 2026, released in April, aims to reduce capital flight and regulatory arbitrage.