The Ministry of Technology and Science is trialling technology to control cryptocurrency in Zambia, in an effort to become a regional hub.
According to Technology and Science Minister Felix Mutati, the testing will be performed through the Securities Exchange Commission and the Bank of Zambia.
He argued that
“Cryptocurrency will be a driver for financial inclusion and a changemaker for Zambia’s economy.”
Mutati’s argument that cryptocurrencies are innovative technology is also supported by “the future the country wants to achieve”. However, it is important to have a policy framework in place to achieve this.
The announcement stated that
“Zambia is putting in place the necessary digital infrastructure, drawing in investments in technology and providing access, thus positioning itself to become a technology hub in the region.”
According to the Minister, the technology testing for crypto regulation is being ramped up “in due course as part of deliberate measures to reach an inclusive digital economy” for the south-central African country.
The press release stated that this technology will facilitate more financial inclusion for the nation’s population. Digital finance will make citizens part of the digital economy, granting them access to all available services and crypto will help to drive economic inclusion and fiscal change.
The Zambian government plans to garner more than $4.7 million in digital payments, a significant boon to the economy. Mutati said,
“Zambia has created an allure that attracts investments and is one of the countries in Africa that is becoming a must-visit place for investment.”
Africa’s Crypto Wave
At the end of July 2018, Trevor Kaunda, Permanent Secretary of the Ministry of Land and Natural Resources in Zambia, signed a Memorandum of Understanding (MOU) with Overstock’s blockchain land registry subsidiary. Under the deal, Overstock’s Medici Land Governance would partner with the Zambian government to reform land ownership. Local rural landowners will be able to access the financial markets and receive digital ownership certificates.
That’s not all. Nations throughout Africa are now using crypto, blockchain, central banking digital currencies (CBDCs), and stablecoins to test various technologies, which include increased financial inclusion and economic growth, as well as simplified, transparent, and streamlined processes.
We saw many other things in the past year, including these: The Central African Republic (CAR) adopted Bitcoin as legal tender – becoming only the second country in the world (after El Salvador) and the first African nation to do so. Soon it will be possible to buy CAR. President Faustin-Archange Touadéra said that the nation was preparing to launch a new crypto project, dubbed Sango, the first cryptocurrency initiative that aims to improve the country’s image as an emerging crypto hub in Africa.
Meanwhile, Kenya’s energy production company KenGen took a green approach to crypto in June when it announced plans to provide its surplus geothermal energy to BTC mining companies. According to energy companies, providing clean energy will help industry players meet their energy demands while helping to reduce carbon emissions caused by bitcoin mining.
In September, major crypto exchange Binance expanded its presence in Africa, launching a partnership with Nigeria’s authorities to build a Dubai-like digital economic zone.
More recently, The Central Bank of Nigeria urged the formation of a regulatory framework that would allow for initial coin offerings and the possible use of stablecoins. The report noted that stablecoins could be a popular payment method in the country and also discussed the development of Nigeria’s CBDC and eNaira.
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Learn more:
– Bitcoin Adoption in Zambia and Stablecoins Use
– Bitcoin For Equity in Zimbabwe Zambia
– 80% of African Population Is Unbanked
– From Homeless to Quadrupled Monthly Income: Just One of Many Benefits of Blockchain Web3
– Zimbabwe Eyes Crypto
– Nigerian Senators Slam Central Bank For Its Crypto Ban
