What is Bitcoin Trading in South Africa

What Bitcoin Trading is and what it entails in South Africa, revealed. We have researched what Bitcoin is and how South Africans can start trading Bitcoin.

In this guide, you will learn:

• What is Bitcoin?
• Bitcoin’s Journey from concept to most popular digital asset
• The Components involved with Bitcoin and Cryptocurrency
• How To Trade Bitcoin
• Step-by-Step on how to buy Bitcoin
• Popular Bitcoin Strategies
• Bitcoin Trading versus Forex Trading
• Best Bitcoin Brokers in South Africa

What is Bitcoin?

Bitcoin is a decentralized digital currency that does not follow the rules set by any central bank or government. Instead, it is based on decentralized computing software and cryptography.

All Bitcoin transactions are recorded in a public ledger with replicated copies kept on servers all around the globe.

Bitcoin’s Journey from concept to most popular digital asset

Humble Beginnings

In 2008, Bitcoin was launched as a decentralized currency that operates independently of a central bank or other intermediaries.

Bitcoin is a digital currency that circulates between users via a decentralized, peer-to-peer network whose transactions are verified by a distributed network of nodes and recorded in a public ledger known as a blockchain.

Although Bitcoin has gained popularity, its creator is still unknown. On October 31, 2008, a document by “Satoshi Nakamoto” with the title Bitcoin: A Peer-to-Peer Electronic Cash System was uploaded to a cryptography mailing group.

No one knows for sure who Nakamoto is since he has never publicly disclosed any information about himself. Many people have speculated that the name is a pseudonym for the work of many authors for this reason.

Bitcoin through the Years

The Genesis Block was the very first block mined and included the first 50 Bitcoins. From then on, until 2010, a growing community of original developers continuously mined Bitcoin.

In 2010, the programmer Laszlo Hanyecz bought two pizzas from Papa John’s for 10,000 Bitcoin, a transaction that would have been worth 3,349,494,639 ZAR at the time of writing.

Since then, hundreds of millions of Bitcoin have changed hands, with the first large-scale trades happening on underground marketplaces.

Several nations have begun to regulate virtual currencies due to their widespread usage in the underground economy. With three distinct measures, the People’s Bank of China ushered in the most consequential regulations:

• The bank banned Bitcoin use by financial organizations in December 2013.
• It announced a blanket ban on Bitcoin usage in September of 2017.
• A ban on large-scale Bitcoin miners was enacted in June 2025.

Bitcoin Today

Today, Bitcoin remains the king of all cryptocurrencies and it still has the largest market capitalization. Bitcoin experienced one of its best years in 2025 when its value reached over 65,000 USD (1,034,4410.00 ZAR) in February, April, and November.

This was attributable to events that involved Tesla and Coinbase. Tesla announced its acquisition of $1.5 billion worth of Bitcoin in addition to Coinbase’s Initial Public Offering (IPO) as the largest cryptocurrency exchange in the United States.

In addition, Bitcoin has also declared a legal tender in El Salvador in September, marking it as the first country in the world to accept digital currency as legal cash.

The Central African Republic followed suit and became the second country in the world to adopt Bitcoin as legal tender alongside the Central African CFA franc.

However, while this was great news for Bitcoin, its all-time high did not last long and the price of Bitcoin has seen drastic declines since its all-time high, attributable to turbulence in the cryptocurrency markets.

Macroeconomic pressures, such as rising inflation and a string of interest rate increases by the Federal Reserve, have contributed to the market chaos in cryptocurrencies.

In addition, the value of several blue-chip cryptocurrencies has dropped in tandem with the stock market. It does not help that several prominent crypto companies are going bankrupt or laying off a considerable number of people.

Is Bitcoin a Currency?

Bitcoin is a digital currency that can be exchanged for fiat currency and while Bitcoin is a legal tender in two countries worldwide, most countries, banks and governments do not see it as a currency.

The first reason for Bitcoin not being a currency relates to the fact that there is no accepted valuation model for Bitcoin.

In addition, Bitcoin does not have a history of acceptance as money in addition to not having any time-tested store of value credentials, relating to intrinsic worth. These two considerations are key attributes that define currencies and Bitcoin unfortunately does not fit the bill.

Bitcoin’s energy consumption

According to statistics, Bitcoin uses close to 110 Terawatt Hours per year, which translates to 0.55% of the global production of electricity. This is the equivalent of annual electricity that is used by small countries such as Sweden.

When it comes to verifying Bitcoin transactions, computers must solve increasingly difficult mathematical puzzles, which require a significant amount of energy for this proof-of-work consensus technique.

This dynamic will only intensify as more people try to get into Bitcoin, but it is built into the technology of cryptocurrencies for the math problems to grow much, much harder as more people fight to solve them.

Numerous miners use energy in a race for the block reward and only one machine can win the Bitcoin reward, even if hundreds of thousands are competing to answer the same issue.

Bitcoin promises to eliminate intermediaries like the card networks and their concentrated authority over finance, thus moving back to such centralized systems as Visa’s network is not necessary to solve Bitcoin’s massive energy consumption issue.

However, Bitcoin proponents may choose among several alternatives, including:

• Using Renewable Energy
• Transitioning to a Proof-of-Stake Consensus
• Embracing Pre-Mining
• Employing Carbon Credits or Fees

The Components involved with Bitcoin and Cryptocurrency

Decentralization

Decentralization in the blockchain context is shifting the locus of power and authority from a single entity (person, group, or organization) to the entire network.

Decentralized networks seek to limit the number of faith that nodes must have in one another by making it more difficult for them to abuse their position within the network to harm other nodes.

Blockchain

The simplest definition of blockchain is that it is a distributed database that can be shared across the nodes of a computer network. Blockchains are digital databases that keep records of transactions and other data in an immutable public ledger.

In cryptocurrency networks like Bitcoin’s, blockchains play a critical function in keeping a secure and decentralized ledger of events or transactions.

In contrast to previous methods, blockchain technology eliminates the need for a central authority to maintain and verify data records, therefore fostering a culture of trust among participants.

Blocks

In a blockchain, transactions are recorded in blocks, which are databases inside a blockchain. The most recent transactions that have not yet been confirmed by the network are recorded in a block.

Validation of the data is followed by a block’s completion, and to accommodate further transactions, a fresh block is generated.

Hash

A hash is a cryptographically secure function used in blockchain computations. To prevent a hacker from guessing the hash and so breaking the blockchain, hashes are always the same length.

Block Time

The time it takes miners or validators in a network to confirm transactions in a block before creating a new block in the blockchain is referred to as the block time for that blockchain.

Block Size

It is the amount of transaction data that can be stored in a single block of the blockchain. Blocks are the fundamental units of a blockchain ledger system.

Miners

The term “mining” refers to the act of producing new Bitcoins via the resolution of mathematical riddles. Specialized computer systems with many chips compete to solve mathematical puzzles.

Bitcoins are given as a reward to the first computer system (a “Bitcoin miner”) that can solve the challenge. Transactions on the Bitcoin network are verified and made reliable via the mining process.

Bitcoin transactions are recorded in a public ledger called blockchain, which is updated in blocks. Bitcoin full nodes are responsible for recording and verifying blockchain activity.

To create a block, Bitcoin miners get the whole blockchain history and only include valid transactions. A miner will earn a block reward if and only if the block of transactions they have constructed has been approved and validated by other miners.

Block Reward

If you mine a Bitcoin block successfully, you will get a certain number of Bitcoins as a “block reward.”

Every four years, or after the generation of 210,000 blocks, the award is halved. Bitcoin’s block reward is predicted to reach zero by 2140 at the current rate that Bitcoin is being mined. At the time of writing, the Bitcoin Block Reward is 6.25 BTC for a block mined.

Difficulty Adjustment

Bitcoin mining difficulty is the amount of effort required to verify a transaction on a block on the blockchain or to “mine” Bitcoins. Changes in the mining hash rate — the amount of computer power utilized per second for mining — are significantly connected with these mining difficulty variations.

Bitcoin Halving

Whenever a new set of 210,000 blocks is mined, the reward for mining Bitcoin is reduced by half. A Bitcoin halving restricts the supply of new coins by half the reward for mining Bitcoin as more blocks are mined, therefore prices may climb if demand stays high.

This is the artificial kind of inflation used by Bitcoin, with the rate halving every four years until all Bitcoin has been issued and circulated. Bitcoin’s halving events are as follows:

• In 2009 the Genesis block was mined, with a block reward of 50 BTC.
• In 2012, the first halving occurred on block 210,000 and the reward was halved to 25 BTC.
• In 2016, the second halving occurred on block 420,000, reducing the reward to 12.5 BTC.
• The third halving occurred in 2025 on block 630,000, reducing the reward to 6.24 BTC.

At the current rate at which Bitcoin is being mined, the next halving is expected to occur in March 2025, on block 840,000 and this will halve the reward to 3.125 BTC.

Proof-of-Work

To avoid abuse of the system, a decentralized consensus process called proof of work (PoW) demands network participants to invest energy in solving a mathematical challenge.

When confirming transactions and creating new tokens, proof of work is often utilized in cryptocurrency mining. To conduct Bitcoin and other cryptocurrency transactions securely and privately, proof of work is used.

When more miners join the network it translates to more energy that is needed to do proof of work at scale. Some unique consensus techniques were developed as an alternative to proof of work, and Proof of Stake (POS) is one of them.

Lightning Network

To facilitate transactions outside of the blockchain, Bitcoin implemented a second layer of its network called the Lightning Network (LN). The goal of the Lightning Network is to make Bitcoin transactions cheaper and faster to complete.

How To Trade Bitcoin

South Africans can speculate on the price of Bitcoin without owning the underlying asset (CFDs), or they can purchase and sell Bitcoin on an exchange. Several components relate to Bitcoin trading, and these are covered in the sections below.

Bitcoin Trading Styles

Scalping, day trading, swing trading, and position trading are four of the most used trading styles in crypto trading. The lengths of time that deals are held distinguish one trading method from another.

• Scalping transactions are only kept for a few seconds, or at most a few minutes.
• Day Traders typically open and close their positions within the same day and they do not hold overnight positions.
• Swing Traders typically keep their trades open for a few consecutive days.
• Position Traders can typically hold their trades for days, weeks, months, and even a few years.

Bitcoin Trading Strategies

Relative Strength Index (RSI) Strategy

The Relative Strength Index is a profitable trading approach that consistently produces favorable returns. When the RSI indicator goes below 30 on a Bitcoin daily price chart, a purchase signal (long signal) is generated.

Traders may adjust this based on their risk tolerance, for a stricter or laxer strategy, dependent on their comfort levels. The most prudent entry avoids losses, but only the most dramatic price movements are traded.

When the RSI climbs over 70, a sell signal is generated, a factor that can be modified based on risk tolerance.

Moving Averages Strategy

Even the most fundamental charts on most cryptocurrency exchanges incorporate Moving Averages, whether they be exponential, simple, or dynamic.

Moving Averages are basic mathematical formulae meant to examine individual data points over several timeframes to provide a visual tool that traders may use to indicate whether or when not to initiate a position or trade.

Moving averages may also be used to determine exit points and stop-loss levels, making them immensely powerful trading tools. They may contribute to a profitable trading technique when used with chart patterns for confirmations.

Moving averages can be calculated across any timeframe, hence the right or most frequent timeframes must be selected before utilizing the tool. The 200, 100, and 50 moving averages are the most often used.

MACD Strategy

The Moving Average Convergence Divergence (MACD) is a popular indicator among cryptocurrency traders because it may provide an early warning of an impending reversal when the lines begin to turn, and then confirm the signal with a crossing.

The Moving Average Convergence Divergence (MACD) is one of the most extensively utilized technical analysis indicators despite its reputation as a lagging indicator.

When used by traders, the technique may assist them to anticipate when a trend is likely to shift. The tool’s indications are straightforward, and a histogram helps traders get a visual sense of the strength of a trend and the nature of any crosses.

Bitcoin Trading Patterns

The term “chart pattern” refers to any recurring price formation on a chart. While these shifts in value may seem to be random to the untrained eye, traders use several different patterns to gauge the mood of the market.

These understandings are then used in conjunction with other types of technical analysis, including technical indicators or candlestick patterns, to make trading choices.

Price Channels Crypto Chart Patterns

Using a sequence of highs and lows, a price channel may be drawn by connecting the points on the lines using an inclination of +/- 2. Prices tend to oscillate in a range between these levels of support (lower) and resistance (higher).

Most traders buy at lows and sell at highs, and breakouts or breakdowns could be exceptionally large price movements.

Head & Shoulders Crypto Chart Patterns

The Head and Shoulders is a little more sophisticated chart pattern that consists of a temporary high or low, followed by an even larger move higher or lower, followed by a third move higher or lower that is equivalent to the first move.

The design resembles either an upright (bearish) or inverted head with two shoulders (bullish).

Ascending Triangle & Descending Triangle Cryptocurrency Chart Patterns

One kind of triangle, an ascending triangle, is formed by connecting high points or low points with a horizontal trend line, while the other type of triangle, a descending triangle, is formed by connecting rising highs or falling lows with a sloping trend line.

The ensuing right triangle eventually leads to a decision point at which the price tends to either break out from the horizontal line in the direction of the sloping line or break down below it.

Bitcoin Transaction Fees

When a Bitcoin transaction is processed and verified by a miner, the average fee charged by the miner is measured in US dollars and expressed as a percentage of the transaction’s total value.

The transaction fee is the cost to transfer any amount of Bitcoin, proportional to the time that it takes for a transaction to be validated and completed on the blockchain.

In 2025, Bitcoin’s average transaction fees saw an all-time high when it reached $62.788 (close to 1,000 ZAR). This is an extreme example of what may happen when the network is congested.

In the past year, the average transaction cost per Bitcoin (BTC) transaction went through a full 360-degree rotation, finally settling at $1.039 early in June.

It costs a certain number of Bitcoin (BTC) to send or receive any quantity of Bitcoin, and that value is directly proportionate to the length of time it takes to validate and finish the transaction.

Bitcoin Wallets

Private keys for Bitcoins are kept in Bitcoin wallets instead of the coins. Typically, the wallet will have security in place to prevent unwanted access in the form of a private key.

In addition, the wallet also has a public key that works in the same way as a bank account number, which South African crypto users can give to others to receive funds.

The Bitcoin wallet is in the exclusive control of the owner, unlike blockchain technology which is shared and dispersed. If a crypto user loses access to their private key, they will subsequently lose their funds and if they do not have a backup, these funds are unrecoverable.

There are two primary wallet types: custodial and non-custodial. A third party hosts custodial wallets and keeps your keys on your behalf. This might be a provider of enterprise-level data security technologies that are used by corporations to maintain and safeguard data.

The types of Bitcoin wallets that South Africans can familiarize themselves with include:

• Software Wallets
• Hardware Wallets
• Paper Wallets

Software Wallets (Hot Wallets)

Computer and mobile phone programs are both examples of software wallets. These wallets are programs that may be installed on a computer and used to store and manage Bitcoin.

Additional features, such as the ability to connect to a cryptocurrency exchange, can be included in certain software wallets. Using near-field communication (NFC) or a QR code scanner, several mobile wallets allow for fast payments at brick-and-mortar establishments.

Most mobile wallet apps are designed to work with either iOS or Android. South Africans could utilize a variety of wallets, some of which are Trezor, Electrum, and Mycelium.

Hardware Wallets (Cold Wallets)

As your private keys may be safely stored in a hardware wallet even after you have deleted them from your smartphone, it has quickly become the preferred choice. In appearance, current hardware wallets are like USB drives, but they provide several additional advantages.

When connected to a computer or other device, the hardware wallet allows users to buy and sell cryptocurrencies.

Most of them can sign Bitcoin transactions automatically without you entering the key, making it impossible for hackers to capture your keystrokes or steal your confidential information.

There are a few popular hardware wallets, but the most well-known is the Ledger and the Trezor. Cold wallets are a common term for hardware wallets since they do not function unless they are connected to a computer.

Paper Wallets

To save their private keys, early crypto users penned them or typed them out on paper. For mobile wallets to read them, these keys and QR codes were included. However, many crypto owners no longer utilize paper wallets because they are so vulnerable to theft and loss.

Step-by-Step on how to buy Bitcoin

Some groups are working toward making it possible to buy Bitcoin via your bank or investment business in the future, but for now, that is not the case. Right now, the only way to convert ZAR or any other fiat cash into Bitcoin or any other digital currency is via a cryptocurrency trading platform.

You can purchase Bitcoin using these methods:

• Debit Cards
• Bank Account
• Credit Card
• Paypal
• ATMs
• P2P Exchanges

Debit Cards

With a debit card, you can use your bank account to buy things and pay for services. You can also buy Bitcoin through exchanges like Coinbase, Coinmama, Coingate, and a few others that let you pay with a debit card.

Bank Account

You may purchase Bitcoin on exchanges like Cex.io, Luno, Kraken, Coinmama, eToro, and many more using a variety of various bank account transfer options at competitive exchange rates.

You need a trading account with the Bitcoin exchange or broker to purchase Bitcoin using a bank account. If you want to trade on a certain exchange or broker, you will need to go through their respective Know Your Customer (KYC) procedures.

After that is done, the user may choose their preferred bank transfer method (SEPA, EFT, OZOW, SWIFT, etc.) and place their Bitcoin order.

Credit Card

Credit card purchases of Bitcoin are processed in the same way that purchases made with debit cards or bank accounts are processed. To complete a transaction, the user must provide their credit card details on the payment site provided by the exchange or broker.

To ensure the user is the rightful owner of the credit card, several marketplaces and trading venues may ask for a photocopy of the card’s front.

Paypal

Buying Bitcoin using a verified Paypal account linked to another payment method. This includes a bank account or a debit card. In addition, you can buy Bitcoin via a Bitcoin exchange or broker using your PayPal balance is one option.

ATMs

Bitcoin ATMs allow customers to exchange fiat cash for Bitcoin and other cryptocurrencies, which are subsequently credited to the customer’s digital wallet.

P2P Exchanges

P2P Exchanges, like LocalBitcoins, allow users to trade cryptocurrencies directly with one another. On these marketplaces, buyers and sellers may meet at a prearranged price and method of transaction for the purchase or sale of cryptocurrency.

If a person is interested in interacting with another, they can go through the available profiles and choose the appropriate one. In addition to ensuring the safety and fairness of all transactions, the exchange also streamlines some aspects of the deal.

Popular Bitcoin Strategies

Bitcoin Trend Trading

Bitcoin trend trading is a strategy for taking advantage of upward market movements by anticipating shifts in sentiment and assuming corresponding positions. Whether the price of cryptocurrency is going up or down, South Africans can still make money.

There can be setbacks and no trader can be right 100% of the time. However, with the help of a reliable trading method, like trend trading, many of these dangers may be eliminated or at least reduced to a more manageable level.

Bitcoin Hedging Strategy

To protect against potential losses or gains, investors might hedge their cryptocurrency holdings by placing opposing transactions.

When a trader wants to keep their initial Bitcoin ownership but generate a neutral exposure, hedging is a beneficial method. Bitcoin hedging strategies can be accomplished in many ways, but here are three of the most common:

• Short-selling
• Hedging Bitcoin using CFDs
• Hedging Bitcoin using Futures

HODL Bitcoin Strategy

HODLing is shorthand for the buy-and-hold investment strategy. Long-term value appreciation is the primary goal of buy-and-hold investors, who often keep onto their investments for many years or longer.

Traders are constantly making and taking positions to maximize their profit potential, whether it be by buying cheap and selling high or some other method.

Trading cryptocurrency is advantageous because of the regular possibilities for both long and short positions due to the market’s extreme volatility. The danger of purchasing high and selling low may be mitigated by “HODLing,” since investors are protected against short-term fluctuations.

Bitcoin Trading versus Forex Trading

Trading foreign exchange (FX) and Bitcoin (BTC) are different in a few key respects.

• Prices for both traditional paper money and virtual cryptocurrency are determined by global market forces of supply and demand. The price of Bitcoin goes up in response to a growth in demand.
• Bitcoin is immune to the supply uncertainty imposed by governments throughout the world.
• While the pace at which Bitcoins are produced is stable, the value of other currencies might fluctuate widely in response to sudden changes in monetary policy.
• While currency exchange rates are determined by the economic choices and situations of nations, Bitcoin’s value is connected to the foundations of the cryptocurrency ecosystem.
• For even more leverage, currency traders could make use of derivatives and other paper contracts that are meant to increase profits beyond what is possible in direct one-to-one trading. The present market climate is ripe for the underwriting of contracts that will increase leverage in the Bitcoin industry, but these contracts are still in their infancy.
• The exchange of Bitcoins is more akin to the purchase and sale of stocks on the New York Stock Exchange.
• Bitcoin and the foreign exchange market (Forex) vary most significantly in terms of liquidity. Trading currencies throughout the world is a $6 trillion industry, whereas the Bitcoin market is only in the billions. The Bitcoin market is still in its infancy, making it more susceptible to a turbulent trading environment and large price movements in response to minor macroeconomic factors.

Best Bitcoin Brokers in South Africa

In this article, we have listed the best Bitcoin Brokers that offer crypto trading to traders in South Africa. We have further identified the Bitcoin Brokers that offer additional services and solutions to South African traders.

Best MetaTrader 4 / MT4 Bitcoin Broker in South Africa

Overall, FP Markets is the best MT4 Bitcoin Broker in South Africa. FP Markets offers over 10,000 markets that can be traded via MetaTrader 4, including Bitcoin. FP Markets is an award-winning broker with transparent pricing and fast trade execution speeds.

Best MetaTrader 5 / MT5 Bitcoin Broker in South Africa

Overall, Exness is the best MetaTrader 5 Bitcoin Broker in South Africa. Exness is one of the most comprehensive CFD and forex brokers in South Africa that offers a range of cryptocurrencies, including Bitcoin.

The spreads that South Africans can expect start from 0 pips on major currencies and there is negative balance protection applied to all retail accounts.

Best Bitcoin Broker for beginners in South Africa

Overall, IG is the best Bitcoin Broker for beginners in South Africa. IG is an FSCA-regulated broker that offers South Africans tailor-made trading solutions. Beginner traders in South Africa can expect a wide range of useful educational materials to help them get started in Bitcoin trading.

Best Low Minimum Deposit Bitcoin Broker in South Africa

Overall, Axi is the best Low Minimum Deposit Bitcoin Broker in South Africa. Axi does not require a set minimum deposit when South Africans register an account.

This provides South African traders with the flexibility to start trading Bitcoin with any given amount with which they are comfortable.

Best ECN Bitcoin Broker in South Africa

Overall, Pepperstone is the best ECN Bitcoin Broker in South Africa. Pepperstone is a large broker with some of the best ECN pricing from 0.1 pips on EUR/USD. Pepperstone also supports a range of trading strategies, allowing South Africans to hedge or scalp Bitcoin.

Best Islamic / Swap-Free Bitcoin Broker in South Africa

Overall, AvaTrade is the best Islamic / Swap-Free Bitcoin Broker in South Africa. AvaTrade is one of the best Dealing Desk brokers that offer an Islamic account to Muslim traders.

Muslim traders are not charged any additional commissions or admin fees when they use this account. There are over 1,250 instruments to choose from and AvaTrade also offers halal trading conditions.

Best Forex Trading App in South Africa

Overall, Trading 212 is the best forex trading app in South Africa. Trading 212 is one of the best trading apps with the most downloads (over 14 million on both iOS and Android). Trading Bitcoin with Trading 212 is fast and does not involve expensive trading fees.

Best ZAR Trading Account Bitcoin Broker in South Africa

Overall, HFM is the best ZAR trading account Bitcoin Broker in South Africa. HFM has more than 1.5 million registered traders and provides 24/5 customer support in 27 languages. South Africans can register an account in ZAR, exempting them from currency conversion fees.

Best Lowest Spread Bitcoin Broker in South Africa

Overall, Plus500 is the best lowest spread Bitcoin Broker in South Africa. Plus500 is a reputable Market Maker broker that offers tight spreads and zero fees on commissions.

Several crypto pairs can be traded including Bitcoin and there is 24/7 customer support offered.

Best NDD Bitcoin Broker in South Africa

Overall, FXCM is the best NDD Bitcoin Broker in South Africa. FXCM is a well-known NDD and STP broker that provides execution speeds of 31 milliseconds. FXCM has been awarded various excellence awards over the years and is a well-regulated FSCA broker.

Best Sign-up Bonus Bitcoin Broker in South Africa

Overall, Tickmill is the best sign-up bonus Bitcoin Broker in South Africa. Tickmill offers new South African traders a $30 welcome sign-up bonus when they register a new account.

Tickmill offers over 80 tradable instruments through the MetaTrader trading platforms.

Conclusion

Bitcoin trading has become extremely popular and more than 11.3% of South Africans today hold crypto. Bitcoin is the most popular digital asset that is currently being traded and South Africans use both forex and CFD brokers as well as popular crypto exchanges to trade Bitcoin.

FAQ

How much do you need to start Bitcoin trading in South Africa?

You can start with an extremely low deposit of 10 ZAR, or less, depending on the minimum set by your broker or crypto exchange. Because Bitcoin is divisible, you do not need to purchase a whole coin unit to own Bitcoin, it can be purchased in fractions.

Is Bitcoin trading legal in South Africa?

Yes, Bitcoin trading is legal in South Africa, but it is not regulated. However, there are forex brokers in South Africa that offer crypto CFDs that are regulated by the FSCA, which protects traders and investors.

Is Bitcoin currency in South Africa?

No, Bitcoin is not regarded as a legal tender in South Africa. While it is legal to buy, sell, and trade Bitcoin in South Africa, the South African Reserve Bank (SARB) has previously issued warnings involved with the risks of trading Bitcoin.

While it is not seen as a legal currency, all Bitcoin earnings are subject to capital gains tax, which means that South Africans must declare all wins and losses to the South African Revenue Service (SARS).

How do you make money from Bitcoin trading in South Africa?

The most popular way for South African traders to make money is by employing HODLing strategies and Trend Trading Strategies. The most common risk management strategy with Bitcoin trading involves hedging their positions using CFDs or Futures.