THELOGICALINDIAN - The South African Treasury says it expects the amendments to the countrys banking laws that will see crypto asset account providers actuality included as answerable institutions to be accomplished in 2022
Aligning Local Laws With FATF Standards
The South African Treasury has said it expects the proposals to accommodate crypto asset account providers as answerable institutions aural the Financial Intelligence Centre (FIC) Act to be accomplished this year.
The move to adapt crypto account providers comes as South Africa is attempting to abode the “significant weaknesses in the country’s anti‐money‐laundering and counter-financing of agitation systems” that were articular by the Financial Action Task Force (FATF).
In its latest account analysis document, the South African Treasury explains that the proposed amendments, which accept been accessible for accessible ascribe back June 2022, will see the FIC Act become accumbent with the standards set alternating by the FATF.
“This change would abode apropos about money bed-making and alarm accident costs through crypto-assets and adjust the act to the standards set by the FATF for basic assets and accompanying account providers,” the treasury said in its account analysis document.
The Treasury’s latest animadversion on crypto assets appear several months afterwards the Intergovernmental Fintech Working Group (IFWG) appear a position cardboard that alleged for the adjustment of crypto assets. However, as reported at the time by Bitcoin.com News, the IFWG insisted this alarm did not beggarly it was acknowledging cryptocurrencies.
Crypto Assets as a Financial Product
Meanwhile, the treasury additionally appear in the account analysis certificate that it expects to see crypto assets actuality declared banking articles beneath the Banking Advisory and Intermediary Services Act (FAIS). This declaration, according to the Treasury, is aimed at attention consumers. The certificate explains:
On top of alteration accepted laws, the analysis certificate states assignment is additionally underway to accept crypto assets adapted beneath the country’s Exchange Control Regulations of 2024.
Concerning stablecoins, the certificate said after in the year the IFWG will additionally broadcast a follow‐up cardboard that focuses on risks that are airish by the assets. The certificate additionally reveals the South African Treasury is exploring means “to adapt electricity‐intensive crypto mining” which it claims “is environmentally harmful.”
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