According to reports, Africa is booming in cryptocurrency adoption. Digital currency which is the new normal is spreading fast across the globe.
Digital currency (or digital money) is an electronic means of payment that is accounted for and transferred through an online system. An example of digital currency is BTC.
Zanzibar, a Tanzanian archipelago off the coast of East Africa, is reportedly considering the adoption and regulation of cryptocurrencies such as BTC.
As the Africa cryptocurrency market saw a surge of over 1200% within a year, the Zanzibar Minister of State (Economy and Investment), Mudrick Soraga had met with some local crypto enthusiasts earlier this year who convinced him that Zanzibar needs to adopt crypto as an official means of the transaction following the total crypto market hitting over $3 trillion.
Now according to the official, the government of Zanzibar is looking to hold meetings with stakeholders in the third week of the month and presently seeking opinions on the matter before delving into it.
However, according to The Citizen, Zanzibar has a lot of work and processes to undergo before it can adopt cryptocurrency.
Therefore, according to a professor at the State University of Zanzibar, Haji Semboja, the local government will have to come up with policies that have detailed aims and objectives of adopting digital currencies, how it works, and the benefits attached through the Bank of Tanzania.
The Cryptocurrency Adoption
The Tanzanian president Samia Suluhu Hassan had urged the country’s central bank to start considering the idea of digital currencies like Bitcoin not long after El Salvador passed its Bitcoin law in June.
The East African country’s latest move comes as no surprise as many other African countries will surely follow in the footsteps of El Salvador by either making cryptocurrency a legal tender or merely adopting it for transactions like central bank settlements.
Markets like Tanzania, Kenya, Nigeria, and South Africa had some of the highest grassroots adoptions in the world and ranked in the top 20 Global Crypto Adoption Index as African countries could make a case as the local crypto market surge of over 1,200% within the past year.