SA’s planned crypto curbs may hit deals worth billions

Digital-asset companies operating in South Africa have halted billions of rand in deals over proposed regulatory changes that would include cryptocurrencies under the country’s exchange-control regime and limit their use in cross-border transactions, people familiar with the matter said.

At least three deals collectively valued at R2.2 billion have been put on hold directly because of the suggested changes, according to the people who asked not to be identified because they aren’t authorised to speak publicly.

The transactions include an investment from a private equity firm and others that would promote capital formation for small businesses and help with corporate treasury management, the people said. The rules could push legitimate digital-asset transactions offshore or underground, they said.