South African Reserve Bank Battles with Old Laws Over Crypto—Are They Still Living in the Past?

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Crypto Battles in South Africa: When Old Laws Meet Modern Madness 🤦‍♂️💸

The South African central bank, in a display of legal agility only comparable to a turtle on a treadmill, has decided to appeal a High Court ruling that dared to question its reliance on a relic from the rock-hewn archives of 1961. Yes, folks, the same year the Beatles hadn’t even formed yet, SARB clung desperately to its outdated exchange control law, trying to regulate cryptocurrencies as if they were still telegrams and telegrams were still king.

Central Bank Confuses History with Future (and Loses)

The SARB, in its infinite wisdom—or perhaps just in its stubbornness—filed an appeal on June 2, arguing that the High Court was oh-so-wrong to criticize their use of a law older than some of the cryptocurrencies they are now trying to control. According to Moneyweb, the bank claims Leo Cash and Carry was involved in some nefarious scheme to whisk away 4,400 bitcoins (because why not?), transferring them to Seychelles—an island paradise for crypto pirates, evidently. The bank wasn’t thrilled that the court decided crypto isn’t “real” money or foreign currency, as if they expected it to wear a badge and salute.

As reported by TopMob, the wise Judge Mandlenkosi Motha declared that such apartheid-era laws are about as useful for managing digital coins as a typewriter in a blockchain conference. He questioned whether laws made before even the first iPhone were suitable to govern these newfangled crypto things, suggesting maybe it’s time to update the dusty laws or, better yet, just admit they’re about as effective as a screen door on a submarine.

Even so, SARB clings to Regulation 22C like a toddler to a security blanket, insisting it has the power to stop any transaction it deems suspicious — like a overgrown traffic cop with a whistle and no sense of proportion. They argue that if their interpretation had been followed, Standard Bank’s confiscation might never have happened. Or maybe it would have—who can tell with laws that date back to the era of pith helmets and apartheid?

Meanwhile, Harry Scherzer, CEO of Future Forex, couldn’t resist throwing some humor into the mix. He essentially called SARB’s legal stunt “a game of hide and seek where the central bank keeps hiding behind outdated laws, pretending they’re still relevant.” He cheekily added that the bank’s actions have made exchange controls as effective as a screen door on a submarine—meaning, pointless. Still, Scherzer appreciated the swift appeal, a classic move to keep things just the way they were: archaic, inefficient, and utterly amusing.

Crypto troll grins at the law

And so, the saga continues: a government institution fighting against the tide of technology with relics and regulations better suited for a different era—perhaps the age of the Suez Canal. Meanwhile, cryptocurrency moves on, laughing all the way to Seychelles, leaving the legal guards scratching their heads. Cheers to the future, where old laws meet new waves… and occasionally get knocked over by them. 🍻🕰️

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2025-06-05 14:01