Bitcoin

South Africa forbids its citizens to use crypto-currencies

3 December 2019 by Antoine

The central bank of South Africa is on the defensive in front of the outflow of capital. This being the case, she would have employed to great lengths to prohibit the use of crypto-currencies on the territory of south africa.

Still more and more control

For your information, the South African Reserve Bank has already established a set of restrictive measures regarding the limitation of cross-border funds.
In fact, the financial transactions accepted without an authorization are subject to a maximum of 1 million roubles. This value seems rather low in the face of 10 million rand additional granted to the citizens of the state revenue Service south african SARS, as a foreign investment.
In order to protect their assets from the devaluation of the Rand, the South African affluent are geared toward novel approaches for transporting their fluids out of the country, among others the use of crypto-currencies. The nature postage and unconditional crypto-currencies allows you to dodge these restrictions, the financial authority of the country.
Apart from the strict controls from the years 2014, reviews on portfolio transactions and reports on the activities of users will be executed from the first quarter of next year.

The consequences are very heavy

Not only are these regulations a conservative impede the path to innovation in the industry of crypto-currencies, but they create a paralysis on the south african economy as a whole.
With a market capitalization valued at more than $ 210 billion, the market for crypto-currencies represent yet a huge potential to generate significant economic growth for the country.
What’s more, the companies Blockchain and crypto-currencies are currently the most promising in the eyes of investors around the world.
Do you think that South Africa is making a mistake by banning the use of crypto-currencies while other countries are more open to this technology ? Share your thoughts in the comment section below.
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About the author

Jeremiah Faber

Jeremiah Faber

Jeremiah is an explorer by heart – both in the physical and the digital realm. A traveler, Jeremiah continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Jeremiah and through his business acumen has gained financial profits as well as fame in his business niche.