[South African Court: Bitcoin Transfers to Overseas Exchanges Constitute Capital Outflow, Subject to Foreign Exchange Controls] According to IOL, the Gauteng High Court in South Africa has ruled that Bitcoin falls under the category of 'capital' and 'currency' within the country's foreign exchange control framework and has ordered the confiscation of Bitcoin assets worth nearly 6 million rand. The court determined that a trader transferred approximately 1,680 Bitcoins from their Luno account to a wallet accessible only through overseas-registered cryptocurrency exchanges between January 2018 and March 2020. This action was deemed equivalent to exporting capital abroad without approval from the Treasury, thereby violating foreign exchange control regulations. Meanwhile, South Africa's Treasury last month released a draft proposal for 2026 capital flow management reforms for public consultation. The proposal aims to modernize the management of cross-border capital flows by reducing pre-approval requirements for transactions, enhancing reporting, and monitoring high-impact, high-risk cross-border transactions.