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Zimbabwe is considering making bitcoin legal tender

Zimbabwe’s government is seriously considering making bitcoin (BTC) official money. Zimbabwean officials are presently negotiating with various stakeholders to find out the potential advantages of cryptocurrency to the nation’s economy, according to a story published on November 7, 2021, by local news magazine Bulawayo 24 News.

Zimbabwe is considering adopting Bitcoin

With the price of bitcoin (BTC) and other DLT-based cryptocurrencies continuing to’moon’ and El Salvador making steady progress on its crypto adoption path, Zimbabwe seems to be the next sovereign nation to incorporate bitcoin into its economy.

According to individuals close to the situation, Zimbabwe, a hyperinflation-ravaged southern African country with over 15 million inhabitants, aims to make Bitcoin (BTC) a legal payment mechanism for products and services within its borders.

The government is presently in negotiations with the business sector and other stakeholders regarding the virtues of cryptocurrencies and how to incorporate them into the economy, according to retired Brigadier General Charles Wekwete, the president’s permanent secretary and head of the e-government technology section.

A Relationship between Love and Hate

Like many other governments across the world, the Zimbabwean government has had a love-hate relationship with digital currencies like bitcoin (BTC) throughout the years. However, with the country’s inflation rate currently at a shocking 51.55 percent, it looks that officials are turning to cryptocurrency to help turn the country’s fortunes around.

The Reserve Bank of Zimbabwe, in May 2018, imposed a blanket ban on the holding, trading, and transfer of bitcoin, as well as prohibiting financial institutions within its jurisdiction from providing services to crypto-focused firms.

The Reserve Bank of Zimbabwe said in March 2020 that it was developing a fintech regulatory framework that would create a sandbox to allow crypto-based firms to operate in the country.

Now, Wekwete has stated that the country is finalizing its crypto regulatory framework to ensure that digital currencies are not utilized for illegal activities like money laundering and that an official announcement will be made shortly.

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