Central African Republic Has Adopted Bitcoin as Reference Currency — Office of the Presidency – Featured Bitcoin News

Following the confusion that surrounded initial reports, a senior staffer in the Central African Republic (CAR)’s presidency has now confirmed that bitcoin will become the country’s reference currency.

First country in Africa to adopt Bitcoin

The office of Presidency Central African Republic (CAR), in a press release, appeared to confirm multiple media outlets’ reports that the National Assembly has passed a bill to not only govern cryptocurrency but to also recognize bitcoin as a reserve currency.

In a statement posted on Facebook, Obed Namsio, the chief of staff, said President Faustin Archange Touadera’s government will support all necessary efforts that allow the country to “carry out this approach that places the Central Africa Republic on the map of the most courageous and visionary countries in the world.”

Namsio stated that the CAR was the first African country to use bitcoin as its reference currency. Namsio praised the decision and said:

The new course we’re on will represent a major milestone in our nation’s history, but it is also a reminder of all the challenges that lie ahead to ensure our continued mission.

The chief of staff’s statement, however, appeared to contradict an earlier report by Bloomberg suggesting the bill passed had only gone as far as to propose the creation of a cryptocurrency regulator.

Contrary Reports

In the report, Hervé Ndoba, the minister in charge of finance and budget, is quoted insisting the CAR is not about to follow in the footsteps of El Salvador, which became the first country to introduce bitcoin as legal tender. Minister says that the legislation proposed does not seek to create a regulatory framework.

While the release of the French language statement is expected to end the confusion which followed the initial report which said the country had adopted bitcoin, Useful Tulips’ peer-to-peer bitcoin volume data starting in 2020 suggests interest in the crypto had been growing. According to data, CAR was the country with fifth highest P2P volume in Africa by September 2021.

Bitcoin ‘Undefeated’

Meanwhile, the news and Namsio’s apparent confirmation of CAR’s decision have delighted players in the crypto community. Christos Krokides, a crypto hedge-fund, shared his thoughts with Bitcoin.com News:

“Bitcoin adoption continues undefeated by any geopolitical or financial global matters. The Central African Republic adopted bitcoin as its legal tender, marking another major step towards a digital revolution. This initiative will completely transform the CAR’s digital infrastructure, which is now considered underdeveloped, by applying the blockchain technological innovation necessary for the project’s implementation.”

Ransu Salovaara, the CEO of Likvidi, said that as “bitcoin gets bigger and bigger, it will become also more stable and that will speed up the government level adaptation even more.”

Anthony Oduu is the co-founder of Verto and the CTO. He said that the adoption rate for crypto-currency will be determined by attitudes, as well as the way the country’s infrastructure improves.

“Country-wide adoption will be very much dependent upon the performance of infrastructure and locals’ attitudes towards the currency. Central African Republic doesn’t have the most advanced telecommunications or digital infrastructure. In 2021, internet penetration was around 10% and mobile connections were available to just 30% of the population.”

Oduu claims that to ensure digital currency access for the whole population, the CAR should invest in infrastructure.

Your thoughts? Let us know what you think by leaving comments below.

Terence Zimwara

Terence Zimwara, a Zimbabwean journalist, writer and author who has been awarded the Zimbabwe Booker Prize. His writings have covered the economic problems of several African countries and how digital currency can offer an escape route.