Plena Solutions September 2025 Newsletter

Plena Solutions Ltd. Newsletter
September 2025

Highlights of this Newsletter

This month we focus on two major developments in cybersecurity and compliance affecting businesses and organizations of all sizes.

·      How cyber insurance is changing from just paying for damages to helpingprevent attacks

·      Why tax authorities are building new systems to track cryptocurrency andwhat businesses need to know.

·     Practical steps organizations should take to prepare for these changes.

Contents of this issue

This month, we look at two changes affecting businesses in Eastern and Southern Africa. First, how cyber insurance is moving from just covering costs after an attack to helping prevent attacks. Second, how tax authorities are building new systems to track cryptocurrency transactions.

Plena Solutions - Bringing you Eastern and Southern African Focused Cybersecurity Insights

We are pleased to share the September 2025 edition of our newsletter, designed to provide business and cybersecurity leaders in theEastern and Southern African region with insights on cybersecurity and risk-related topics. Our goal is to help our community of leaders protect and maintain the integrity of their organizations

About us

Plena Solutions Ltd. is a cybersecurity solutions provider, with a primary focus on addressing the needs and challenges of organizations from the private and public sectors in Eastern and SouthernAfrica. With offices in Kenya and Israel and activity across Eastern andSouthern Africa, we combine deep local insights, experience, expertise, and global top-notch cybersecurity technologies & solutions. We serve as ourclients' trusted advisor and implementation partner on risk and cyber security topics, helping them keep safe and ahead of any cyber threat.

A. How Cyber Insurance is Changing: FromPayout to Prevention

1. Cyber insurance as a security tool:

Cyber insurance used to work like car insurance - you bought it and hoped you never needed it. Now, insurers are helping preventattacks before they happen.

What’s changing:

·     Prevention focus: Insurance companies now provide security experts, incident response teams, andinvestigators as part of the policy.

·      Faster response: When attacks happen, insurers provide expert help thatreduces damage and costs.

·      Real results: After the Change Healthcare breach in the US earlier thisyear, companies that used their insurer's response teams had average claims of just $22,000, while the total attack cost was in the billions.

2. Active cyber insurance: Protection and prevention in one package:

A new type of insurance is emerging that combines security services with insurance coverage. This isparticularly useful for African businesses that need both but have limited budgets.

Active cyber insurance usually includes:

·     Security services built-in: Instead of buying insurance and security separately, you get vulnerability checks, monitoring, and incident response in one package.

·     More affordable: This makes enterprise-level security accessible to smaller businesses that couldn't afford it before.

·     Local relevance: This model works well in African markets where many businesses worry about cyber threats, but few have proper insurance.

Active cyber insurance is like having both a security alarm and emergency response service in one purchase.

B. Tax Authorities and Cryptocurrency:Critical Implementation Priorities

1.The enforcement challenge:

Tax authorities are losing billions in revenue because cryptocurrency transactions are hard to track. With more people using cryptocurrency in Africa, tax authorities need to build new systems quickly.

Theproblem:

• Lost revenue: billions of dollars in potential tax revenue is lost globally each year due to unreported cryptocurrency transactions.
• Fast growth: Cryptocurrency use is growing faster than tax systems can adapt.
• Low compliance: Research shows over 90% of crypto investors (globally) don't report their income properly, even when required.

2.What tax authorities need to do:

Tax authorities need to act in four key areas to collect taxes effectively in the digital economy.

a.Technology infrastructure:

• Blockchain tracking tools: The U.S. tax authority has bought over 600 blockchain analysis licenses to track digital transactions and     connect wallet addresses to taxpayers.
• Local implementation: African tax authorities should engage specialized companies to monitor growing     crypto markets.
• Data sharing systems: Strong systems for sharing information with other countries to track     cross-border transactions.

b.Staff training:

• Basic knowledge: Most tax officials don't understand blockchain well enough to review     crypto-related tax returns or spot tax evasion.
• Training programs: Authorities need comprehensive training on blockchain basics, digital asset     identification, and enforcement techniques.
• Ongoing education: Regular updates as technology and evasion methods change.

c.New reporting requirements:

• Better reporting: Starting in 2025, crypto exchanges must report transactions using new standardized     forms.
• Verification systems: Advanced systems to check reported transactions against blockchain data.
• International cooperation: Agreements to share data with other countries to track cross-border transactions.

d.Enforcement updates:

• Specialized teams: Traditional audit methods don't work for cryptocurrency investigations.
• Success examples:     The U.S. model shows what's possible - they collected $38 billion in  crypto-related taxes in 2024, a 45% increase from the previous year.
• Resource planning: Dedicated teams with blockchain tools and specialized training.

3.What businesses should do:

Organizations using cryptocurrency or considering itshould prepare for increased regulatory attention:

Keepdetailed records:

• Set up automated systems to track all cryptocurrency transactions with timestamps, amounts, and wallet addresses
• Document why each transaction was made
• Keep records of when you bought digital assets, including purchase prices and dates for tax calculations
• Maintain logs of wallet addresses and private key management

Setup compliance systems:

• Use specialized accounting software that can handle cryptocurrency     transactions and create tax reports
• Create clear policies for employee cryptocurrency activities and reporting     requirements
• Set up internal controls for cryptocurrency storage and transaction approval
• Regularly check that blockchain records match your internal accounting

Stay informed about regulations:

• Monitor tax authority announcements and regulatory changes in your operating     countries
• Work with tax professionals who specialize in cryptocurrency compliance
• Join industry associations to learn about best practices and regulatory trends
• Consider conducting compliance reviews to find and fix potential problems

Managerisks:

• Set up strong security controls for cryptocurrency storage and transactions
• Develop response procedures for cryptocurrency theft or loss
• Consider spreading regulatory compliance across multiple countries to reduce     single-country risk

C.Closing Notes

Cyber insurance and cryptocurrency regulation are both changing how businesses need to manage risk. These changes create bothchallenges and opportunities for businesses across Eastern and Southern Africa.

The main lesson is that waiting and reacting is no longer enough. Whether you're looking at new cyber insurance options or preparing for stricter cryptocurrency compliance, you need to plan and act now.

At Plena Solutions, we understand that Africanorganizations face unique challenges in managing these changes. Limited resources, regulatory uncertainty, and the need to keep operations running while adapting to new requirements all need practical, balanced solutions. We help organizations handle these complexities while building protection against new threats.

The organizations that do well will see these changes notas problems, but as chances to build better risk management. By working with insurers and staying ahead of regulatory requirements, businesses can turnpotential problems into advantages.

Remember: In today's changing world, the cost of preparing is always less than the cost of recovering. When we invest in good risk management today, we protect our operations, our stakeholders, and our future growth.

Sources and further reading:

• Cyber insurance evolution and active models:
   
  • https://www.acronis.com/en/blog/posts/cybersecurity-insurance-role-in-ransomware-protection/
   
  • https://www.landers.com.au/legal-insights-news/cyber-insurance-trends-to-look-out-for-in-2024-and-beyond
 
• Cryptocurrency taxation and enforcement:
   
  • https://coinlaw.io/crypto-taxation-laws-statistics/
   
  • https://www.taxobservatory.eu/www-site/uploads/2025/03/WP29_Enforcing-Taxes-on-Cryptocurrencies.pdf
   
  • https://www.tigta.gov/sites/default/files/reports/2024-07/2024300030fr_0.pdf
   
  • https://pro.bloombergtax.com/insights/corporate-tax-planning/cryptocurrency-taxation-regulations

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