Finance

South Africa sets regulatory milestone with first cryptocurrency trading licenses

South Africa sets regulatory milestone with first cryptocurrency trading licenses
Thursday, 14 March 2024 16:45

South Africa is about to make a significant leap in cryptocurrency regulation, marking a first not only for the country but for the entire African continent. According to Bloomberg, citing Unathi Kamlana, head of the country's Financial Sector Conduct Authority, about sixty cryptocurrency trading licenses are expected to be issued by the end of March 2024.

This development comes at a time when Bitcoin, the leading digital currency, is experiencing record values. It represents a significant shift for the African continent, where users of digital currencies have so far had to rely on international platforms for their transactions. South Africa's move aims to incorporate crypto assets into the national financial regulatory framework, making obtaining these licenses mandatory for operating platforms.

The demand for these licenses underscores the growing interest in the sector, with over 300 service providers applying for accreditation in South Africa alone. Despite Africa accounting for only 2.5% of global cryptocurrency transactions, the continent recorded $117 billion in transactions from June 2022 to June 2023. This surge is attributed to the depreciation of currencies in key African economies and a renewed interest in Bitcoin, which remains high in value despite losing nearly a third of its price since November 2021. This resurgence is partly due to major players like BlackRock entering the market, the world's largest asset management firm.

South Africa's steps towards crypto regulation mirror trends in financially linked markets like the US and the UK. Meanwhile, other African countries show more modest advancements. The Central African Republic, despite adopting Bitcoin as legal tender, has seen little in the way of new developments. Nigeria's Securities and Exchange Commission has issued new regulations for digital assets, seeking a middle ground between outright bans and unregulated use. However, challenges faced by major trading platform Binance indicate a step back. In Kenya, another significant cryptocurrency market in Africa, progress remains slow.

On the same topic
Net profit up 10% to CFA53bn ($94m), backed by stronger balance sheet and equity Total assets rose 6% to CFA3.72tr, while equity grew 12% to...
JCR affirms Afreximbank at A-/stable; CCXI keeps AAA/stable rating Bank’s strong capital base and steady profits highlighted by Asian...
WAMU banks face rising NPLs despite credit growth; average provisioning of 61.8% falls short of international standards. Gross NPLs hit CFA3.442T...
• Babban Gona secures $7.5M BII funding for Nigerian farmers• Investment to expand finance, training, and climate-resilient agriculture• Goal to...
Most Read
01

Over the past two decades, mobile money has grown into a cornerstone of African finance. Driven by i...

Africa’s Mobile Money Boom: A New Frontier for Global Payment Giants
02

• ECOWAS plans a rapid deployment brigade of 260,000 troops costing $2.5bn annually.• The force...

ECOWAS needs $2.5bn annual budget for anti-terrorism brigade
03

It’s a common scene in any Lomé (Togo) market, but it’s telling. A customer hands a 10,000 CFA franc...

The Change Shortage: A Crisis Hidden by the CFA Franc’s Stability
04

On August 31, 2025, the ruling coalition in Benin Republic—comprising the Union Progressiste pour le...

Romuald Wadagni: From High-Profile Minister of Finance to Presidential Candidate for 2026
05

Nigeria eyes $671m data center market by 2030, seeks Chinese investors. Rising mobile da...

Nigeria Courts Chinese Investors for $671 Million Data Center Market
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.