[ad_1]
The South African government has set up a cryptocurrency working group to examine the potential of digital currencies and blockchain technology. South Africa has recognized the significant growth of the cryptocurrency economy.
South Africa's finance minister, Tito Mboweni, said in a letter that the working group endeavors to produce a complete regulatory response to the cryptocurrency. Mboweni said the working group is made up of representatives of various South African agencies with financial sector, Treasury, Financial Intelligence and Revenue Services (SARS) authorities. According to Businesslive, South Africa's finance minister said, "Following the commentary and participation of the industry, the cryptographic resources regulatory working group will be ready to publish a final research paper on the subject. during 2019. "
Mboweni has revealed that in the near future, South African citizens would be able to declare profits from cryptocurrency within the nation's tax forms. He said the work is under way with SARS to consider changing tax forms for the 2019 fiscal season. "Taxpayers who made some kind of declaration regarding the cryptocurrency negotiations have captured this trade as a form of "other commercial revenue" or "other commercial loss" and referred to a description of digital / cryptocurrency trading such as bitcoin money (BCH), litecoin (LTC), ethereum (ETH) and zcash (ZEC) to name a few. "
Meanwhile, experts say that cryptocurrencies like Bitcoin have attracted attention due to the meteoric swings. And this required more regulations. According to the BIS Quarterly Review, cryptocurrencies are "different" because they can work without institutional support. Basically, cryptocurrencies are borderless. The BIS Quarterly Review noted that "the market responds more strongly to news events on the legal status of the digital asset, and the news about the possible treatment under the Securities Markets Act has had a very negative impact".
Countries setting up working groups and regulators for cryptocurrencies have a positive impact on the overall cryptocurrency market. This will certainly result in more users.
