The post South African Judge Slams Outdated Crypto Laws appeared on BitcoinEthereumNews.com.

Judge Motha criticizes SARB for using apartheid-era crypto laws. Court urges urgent legal reform to address digital asset regulation. South Africa risks falling behind amid booming global Bitcoin interest. In a significant court ruling, a South African High Court judge criticized the country’s central bank for relying on outdated crypto laws to regulate the sector. Judge Mandlenkosi Motha pointed out that the SARB was not using current regulations when handling digital assets like Bitcoin, because it is still sticking to old exchange control guidelines meant for apartheid. These were said during a conflict between Standard Bank and a firm that did not repay its debt of R41 million. Judge Calls for Legal Reform in Crypto Regulation The case was initiated because Standard Bank was trying to liquidate a company for not paying its debts. But the company’s assets were seized by SARB’s Financial Surveillance Department (FinSurv) before the liquidation could begin. As described by FinSurv, the company bought significant quantities of Bitcoin and transferred them to overseas cryptocurrency exchanges. They claimed that the action broke South Africa’s exchange control laws. Even so, James Ewing & Sons was taken to court by Standard Bank. According to FinSurv, people argued that the rules were outdated and did not directly address digital assets. Accordingly, Judge Motha said that the existing laws aren’t sufficient for cryptocurrencies. He pointed out that our existing laws call for treating digital assets such as Bitcoin as if they were different from traditional money. The judge also stated that cryptocurrencies should not be treated the same as physical money. For instance, people use global electronic ledgers to store them, which makes it harder to follow them to a specific location. This leads to questions beyond the law: Should travelers mention their cryptocurrencies when they go across borders? Can people…

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Filed under: News - @ June 1, 2025 10:11 pm