Johannesburg – Luno, a digital asset platform set in South Africa, calls for the latest, clear and practical regulations of digital assets such as Bitcoin to drive investment and economic growth.
Calls by one of the world's oldest crypto wallets are due to the continued popularity of digital assets growing globally.
Last week, Bitcoin hit its all-time high.
Supported by a recent decision in the High Court, South Africa's exchange control regulations introduced in 1961 said on Monday, May 26, 2025 that they could not apply to Luno's cryptocurrency.
On May 15, 2025, the Garten Division of the Pretoria High Court ruled the South Africa Standard Bank v. South Africa Reserve Bank (SARB) and others.
The court has found that Bitcoin and other crypto assets are outside the current exchange control net.
In a statement available to Bruche, Luno noted that institutional investors around the world are increasingly incorporating digital assets into their investments.
“Last year, the UK's first pension fund allocated 3% of its funds to high-revenue cryptocurrency,” Luno said.
In a statement issued by Marius Leitz, general manager of Africa and Europe, the company said the court found that existing regulations did not allow “unnatural and fictitious readings” to include cryptocurrencies.
The court has determined that cryptocurrencies require “legislative attention” in the same way that intellectual property rights are incorporated into the outdated exchange management framework.
“The exchange regulation is a rule controlled by the country's central bank, SARB, and regulates the flow of funds abroad,” Luno said in a statement.
“SARBs may need to update these decades-old regulations to be specifically applied to digital assets.
“One major regulatory gap is that South Africa's digital currency is currently not designated as either offshore or onshore assets.
“This ambiguity prevents investment through collective investment schemes and pension funds as offshore assets are subject to stricter exchange management rules and enforce lower levels of investment.”
Furthermore, clearer regulations can help report and address illegal financial flows.
Luno said he strongly believes that the digital asset industry will be able to contribute significantly to South Africa's economic growth, as the latest legislation, particularly the technically correct designation of digital assets.
The statement added: “As well-Improved regulations not only encourage investments, they can also enhance tax collection and enable crypto asset service providers to better meet their obligations to identify suspicious financial activities,” he added.
Luno said he looks forward to the joint process between the government and the digital asset industry and is looking forward to developing regulations that ensure that large-scale profits of cryptocurrency will unlock the wider economy.
