Luno Challenges South Africa Over New Crypto Exchange Rules

Luno has formally challenged the South African National Treasury regarding its latest plan to update foreign exchange laws. The exchange argues that new rules involving digital assets should go through a full parliamentary process instead of being implemented through a simple administrative proclamation.

The proposed overhaul aims to place digital assets under a stricter exchange control regime. Luno believes this approach lacks the transparency required for such a significant shift in financial policy. The company raised concerns that these rules could lead to harsh penalties and overly strict enforcement for local crypto users and businesses.

This dispute highlights the growing friction between crypto firms and government regulators as South Africa works to formalize its digital asset framework. By demanding a legislative path, Luno is pushing for more public debate and clarity before these new powers become law.

Investors should watch how the National Treasury responds to this formal pushback. If the government decides to move forward through parliament, it could slow down the implementation of these rules but create a more stable and legally sound environment for the local market in the long run.