South Africa might be taking a different approach to crypto regulations. Rather than implementing government-based regulations on cryptocurrencies, a self-regulatory approach may be adopted.

Why self-regulate crypto? According to Bridget King, the Finance and Banking Practice Director at a South African law firm, prematurely regulating cryptocurrencies could stem their growth and the overall innovation of the industry.

King told the Business Report that:

“If laws are drafted based on existing technology, which is still in its growth phase, there is a risk that the technology may have moved so much by the time the legislation is enacted, that this legislation is obsolete or requires updating almost immediately.”