Zimbabwe the Next Country to Legally Adopt Bitcoin

Facebooktwitterredditpinterestlinkedinmailby feather

First it was El Salvador, now it might be Zimbabwe. Following the example set by the South American country, Zimbabwe might be looking to make Bitcoin legal tender. El Salvador opened the door to further legal crypto adoption around the world. It looks like Zimbabwe might be next on the list as the government decided to make BTC legal tender due to the increased demand rate among citizens.

Similarly to Nigeria, the youth in Zimbabwe is very interested in crypto investments. It has become a big concern for the government, but unlike Nigeria, Zimbabwe is planning to do something about it. Whatever it decides in the coming weeks or months, there’s no question that the African country should prepare itself for many challenges.

Currently in Research Phase

Nothing is official yet when it comes to Zimbabwe’s Bitcoin legal adoption. Everything is currently in a research phase so the country can analyze the advantages and disadvantages of that move. The demand for Bitcoin and crypto in the country is very high, especially among the youth. Since all the investments are done outside of the country or illegally, the government is seriously considering crypto adoption.

According to Perm Sec Brig. Colonel Charles Wekwete, talks are currently ongoing on making Bitcoin legal tender. Of course, the Zimbabwe government is fully aware that there are many risks associated with cryptos and positive sides as well. At the moment, the biggest problems are money laundering, illegal cross-border transfers, as well as facilitating unlawful actions. All these problems can luckily be curbed with laws. The pros far outweigh the cons, and that’s why the government is bent on making Bitcoin legal tender.

Another big reason why it’s considering such a move is the frail economy. Just like in El Salvador, the African country is having financial troubles with no help from anywhere. El Salvador set the pace for Bitcoin adoption and things have been great so far. It was a bold step, but one that may pay off.

Zimbabwe could follow the South American country soon, although nothing has been declared yet.

Not Backing Down

Even amid the criticism, El Salvador isn’t backing down. According to president Nakib Buyele, the country needs a bit of time before things turn great. All of its Bitcoin earnings will eventually be spent on schools and hospitals, with the process set to start soon.

Africa has always been a great testing ground for cryptocurrencies. With unstable economy systems and no prosperity, the youth is turning toward cryptocurrencies. Nigeria seems to be the breeding ground for this idea, although the government there opposes cryptos. Zimbabwe is not planning to make the same mistake and is well on its way to adopting crypto.

It may take some time, but the pros of such a move will surely benefit the African country. With the high activity of the crypto market, adopting Bitcoin as legal tender shouldn’t be a big problem. There will be challenges for sure, but with the right approach and experts, Zimbabwe could succeed.

November 17, 2021: • No Comments

Comments are closed.