Economic climate, political instability and rapid advances in technology have introduced alternative methods of payment, investment, and exchange. A consequence of this are more frequent enquiries as to the possibility of the inclusion of payment by way of the available and alternative means of exchange in the sale of property.
At this time, the vast array of alternative means of exchange are not yet provided for in current legislation such as FICA and FAIS and can cause major problems and/or uncertainty in the execution of the conveyancer’s duties in respect of verifying the source of funds, securing purchase prices and the monitoring of possible money laundering and other prohibited activities.
For the time being, there is no existing protocol for the facilitation and processing of payments through any of the above-mentioned instruments as none of them are properly regulated.
It is, however, to be expected that there will have to be adjustments or additions to existing legislation to either allow for proper regulation or absolute prohibition. Only time will tell. See below for one such effort to facilitate such a transaction, however, circumvention of the Deeds Office is suggested, which poses many challenges.