South African Reserve Bank Flags Crypto as Systemic Risk, Pushes for 2026 Regulation

The South African Reserve Bank (SARB) has officially flagged crypto assets, including cryptocurrencies and stablecoins, as a systemic financial risk due to their growing adoption and unregulated nature.

The central bank emphasized the urgent need for comprehensive regulation to manage the potential for disruption to South Africa's financial system and safeguard economic stability, particularly concerning increasing cross-border transactions.

Key Regulatory Action Plan:

• Risk Acknowledgment: Herco Steyn, SARB's macroprudential expert, identified the incomplete regulatory framework as a major risk factor, stressing that risks could "accumulate undetected" if authorities lag behind.
• 2026 Target: The SARB is working closely with the Treasury to finalize comprehensive regulations by 2026.
• Goal: The objective is to amend existing laws to better regulate cross-border crypto trading and digital assets, updating the regulatory landscape to match the evolving market and prevent instability in the financial sector.

This official stance underscores the SARB’s commitment to an ongoing, adaptive regulatory response to the digital asset ecosystem.

November 2025, Cryptoniteuae