CBDCs are useful but are not an immediate priority — SARB

The bank sees no need to deploy a retail CBDC anytime soon, but it will explore wholesale options.
Policy — coverage and analysis.

The bank sees no need to deploy a retail CBDC anytime soon, but it will explore wholesale options.

Adoption is on the rise, but with increased adoption comes financial stability risks that the bank is now looking to counteract.

SARB said the absence of a complete regulatory framework for crypto assets and stablecoins remains a key vulnerability in South Africa’s financial system.

The new rules establish a licensing regime for VASPs and bring them under the purview of BAM and AMMC

Plus: 🇿🇦 USD stablecoins can undermine African monetary sovereignty — SARB Governor

Lesetja Kganyago says he is unconvinced by the supposed stability of USD-pegged stablecoins and believes their backing can be called into question

Emomotimi Agama said the country is missing out on substantial investments because Nigerians avoid investing in the Nigerian capital market.

Stakeholders are saying the Act is a step in the right direction, as it provides legal backing to an ecosystem long in the shadows.

Despite these impressive figures, there is a huge policy vacuum sitting between potential and scale.

The bill has scrapped the creation of a new agency, VARA, and has instead placed VASPs under the CMA and CBK’s regulatory oversight.

Plus: 🌍 USDC-issuer Circle backs CV VC’s $20M African Blockchain Fund 🇳🇬 Experts call Nigeria’s crypto tax regime “progressive”

At a Mariblock webinar last week, tax and digital asset experts said the new laws mark a turning point for the sector’s legitimacy.

Plus: 🌍 Coinbase-backed Onboard 3.0 attracts 10k users two months after launch; 🇳🇬 Kredete raises $22 million to fuel expansion efforts

Individual crypto transactions will now be subjected to a maximum of 25% personal income tax on profit made.

Ethiopia just inaugurated Africa’s largest dam, doubling power output — but still lacks the funds to deliver universal electricity access.