South African financial institutions can now serve crypto-focused clients, central bank says

South Africa's central bank has enabled financial institutions in the country to serve clients focused on cryptocurrencies like bitcoin (BTC-USD) and ethereum (ETH-USD).The move comes after South Africa last year planned to unveil crypto-related rules in 2022."Banks may act as a conduit for funds linked to CASP [crypto asset service provider] activity and may play a role in customers wishing to purchase CAs or receive pay-outs for the sale of CAs via fiat currency into their bank accounts," according to the South African Reserve Bank's recently published Guidance Note.And while certain banks in the country have opted to end their relationships with CASPs, the SARB warned that "wholesale termination" of those relationships "may pose a threat to financial integrity in general and to the application of a risk-based approach."In mid-July, the SARB wanted to regulate cryptos, possibly issue a CBDC.