South African Authorities To Add Crypto Sphere In Law On Payment System
Regulatory organizations in South Africa are looking for new mechanisms for the national payment system (NPS) and consider cryptocurrency as part of it, according to the country's government website.
The country's reserve bank (SARB) and the National Treasury seek to change a set of infrastructures and mechanisms within the NPS that help transfer money between legal entities and individuals. The law on the national payment system, which was adopted in 1998, looks outdated today.
Regulators invite all interested parties to discuss the new bill. It will be adopted taking into account global trends and will cover those financial sectors that did not previously exist, in particular, the crypto sphere. South Africa is considered one of the most advanced countries in the African continent in relation to blockchain and digital money.
It is necessary to pay special attention to service providers, systems, and tools related to cryptocurrencies, distributed ledger technology, and financial technology companies, one of the comments says.
In a joint statement, SARB and the National Treasury stressed that the era of innovative digital technologies embraces increasingly the payment industry and challenges the traditional system. Regulators are open to comments and recommendations by the end of February 2019.
As previously reported, the Nigerian presidential candidate promised to strengthen the local economy with the help of blockchain and cryptocurrencies.