I am still a bit stunned that the governments around the world are so backward in how to police the regulations of crypto. In many ways they are playing catch up and are two or three steps behind of where they need to be and fighting the mass adoption will only move the goalposts further apart. There are so many grey areas whatever they decide their will always be options and choices to make.
From time to time I check if there are any updates on Crypto regulations in South Africa as being informed and knowing is just being smart. I have made sure I have stayed under the radar and not used any of the local exchanges and never will.
I noticed there are a few amendments which don't really concern the individual but traders trading on behalf of investors. They need to be registered which I have no problem with as this is protecting the individual.
The one other addition was the R1 million maximum allowed to be sent overseas in cash or crypto without having to receive permission from the Reserve Bank. This is actually quite laughable as how are they going to police this as they have no clue.
In the past we have heard about individuals being stopped at the airport carrying millions in cash but these days a cold wallet could carry whatever amount you wanted with no risk of being caught.
Back in 1994 I had to do a trip to take some money over to the UK and how much easier a cold wallet would have been back then. The authorities are only showing their ignorance and desperation as rather embrace the use of crypto bringing it out into the open. The sooner they do that the sooner they will earn a percentage in missed taxes.
In South Africa the tax rate is 26% for anyone earning over $15K per annum and rises up to a maximum of 45% for earnings over $115K. In the UK the up to $16K is free and is 0 tax and is a big difference of 26%. having dual nationality allows me to stay legal if the proverbial hits the fan by paying to the cheaper scenario. Paying 20% on R1 million sounds a whole lot better in the UK than 41% and if the crunch happens somehow then that is what will have to happen.
I am sure at some point the governments around the world will get their act together but I am not voluntarily going to show my hand. I do believe being invested in places like Hive does afford us to relax as how are they going to find the individual who is behind the account. I can see exchanges handing over details to the respective governments at some point which will make it more difficult to move funds around, but still it will be possible to remain in the shadows.