Zimbabwe might become the next country to adopt Bitcoin as legal tender
Zimbabwe has been closely following the increasing demands for cryptocurrencies among its citizens, viewing it as a possible arena for growth.
As per the latest news, the country has been quite receptive towards regulating the crypto sector with its government considering Bitcoin legalization among legal payments so the growing demand can be utilized to harness technology.
According to local news, retired Brigadier Colonel Charles Wekwete, who is currently the Permanent Secretary and Head of the Office of the President, also leading the cabinet’s e-government Technology Unit, has confirmed that discussions with crypto businesses about regulations are already underway.
According to Wekwete, there are many disadvantages of decentralized ecosystems that include unregistered cross-border transactions, money laundering, ill-gotten cash flow into illicit activities, externalization of money, money laundering, among others.
He stated that the Zimbabwe authorities are trying to develop legal regulations that would protect consumers and secure the country’s financial future. Consequently, the government would seek inputs from all sectors before zeroing on a final decision or a major policy change.
The country is yet to finalize a jurisdictive action, and is still in the consultation stage. Its government has, however, accepted the digital economy framework as an essential part of its National Development Strategy 1, which is a means for connecting government and business efforts to address the development of the digital economy in the country.
As El Salvador became the first country to introduce Bitcoin as legal tender, more countries are coming forward to enable and adopt the usage of cryptocurrencies. Despite soaring criticisms from the public around the world, the El Salvador government stood adamant in its backing for the Bitcoin.
The country’s President Nayib Bukele has, in fact, kept updating on his Twitter about the Bitcoin adoption and recently tweeted that the initial earnings from Bitcoin would be used to build 20 schools and a hospital across the country.
Africa has great potentials to serve as the testing ground for cryptocurrency as several businesses are now producing goods and services coordinating with various countries on the continent in a bid to fill the void between African nations and other countries in terms of cross-border payments.
Between July 2020 and June 2021, Africa’s crypto market had grown by over 1200 per cent, with the highest penetration witnessed in Kenya, Nigeria, South Africa and Tanzania.