Cryptocurrency Regulations are the hot topic and the matter of concerns almost for every nation from the past 2 years significantly. Governments after perceiving the interest of the citizens and in the race of becoming strong economies are considerably focusing on drafting new regulations and concerned regulatory associations as a watchdog for the right implementation of laws.
Although, it’s hard to find a steady and unfailing legal approach still progressive governments are endeavoring to come up with a few legalities and forming regulatory working groups.
Recently, the South African government has announced the establishment of a new crypto assets regulatory working group in the country. The latest news reported by the local news portal BusinessLive.
The South African finance minister, Tito Mboweni, confirmed that:
“It is anticipated that, following broad industry comment and participation, the crypto assets regulatory working group will be ready to release a final research paper on the subject during the course of 2019.”
Tito Mboweni also informed that South African Revenue Service is in the process of mentioning cryptocurrencies in the tax forms by next year and the possible modifications will clarify that cryptocurrencies can be classified as an as a financial service for VAT purposes instead of considering as a personal-use asset for capital gain tax.
In an effort of embracing digital currencies the South Africa’s central bank last year in June, effectively executed a pilot project by using cryptocurrencies into the interbank payment system.