Bitcoin is a form of digital currency, created and held electronically. At the moment no one controls it.
But should it be regulated?
Managing director of Schoeman Law Inc, Nicolene Schoeman-Louw says they are looking at the Americans to see what kind of regulation they come up with.
She says the Bitcoin community entered into Bitcoin scaling agreement, signed by 58 companies and 22 countries, in which they are testing a regulatory environment.
It is an interesting model for us in South Africa to keep an eye on just to get a clean understanding of how decentralised the networks are.— Nicolene Schoeman-Louw, Managing director of Schoeman Law Inc
In South Africa we could see Bitcoin being regulated in the similar model like the JSE and the Central Security Depository, says Schoeman-Louw.
She says the second model could be a centralised regulatory model which is aimed at uniting the entire financial system sector under one roof
To hear more about Bitcoin regulation, listen below: