Kenyan Central Bank Says It’s ‘Craziness’ to Convert Country’s Reserves to Bitcoin – Africa Bitcoin News

The Kenyan central bank governor Patrick Njoroge has described as “craziness” the calls to convert Kenya’s reserves into bitcoin. He said that this would require him to lose his mind. Njoroge said that cryptocurrency like bitcoin is not only unstable, but also hardly solve any problem.

CBK Governor Says Converting Kenya’s Reserves to Bitcoin Deserves a Jail Term

The Central Bank of Kenya (CBK) governor, Patrick Njoroge, has described the idea of putting the country’s reserves into bitcoin as “craziness.” Njoroge, who was addressing recently elected members of Kenya’s legislature, added that if it occurred that he agrees to convert Kenya’s reserves to bitcoin, he should be jailed and the keys to his prison cell must be thrown away.

Under Njoroge’s stewardship, the CBK has issued statements and advisories warning Kenyan residents against trading or investing in cryptocurrencies. For instance, Bitcoin.com News reported in June 2022 that Njoroge, together with the Central Bank of Nigeria (CBN) deputy governor Kingsley Obiora, had cited cryptocurrencies’ volatility as one of the reasons why they cannot become a widely used payment method.

Yet, despite Njoroge and the CBK’s opposition, several studies have suggested that Kenyan residents’ use of, or investment in, cryptocurrencies is growing. The peer-to-peer cryptocurrency exchange Paxful revealed recently that it had $125 million in digital assets from Kenya during the first half 2022.

Njoroge: Cryptocurrencies Solve No Problems

Njoroge, however, still question the economic benefits of cryptocurrency for Kenya in a Youtube video. He added:

What problem is the economy facing? Are they better vehicles for let’s say payments, transactions? No. Are they better in terms of …. Are they better in terms of security than a bank accounts? The answer to that question is no.

Njoroge also claimed, as part of his efforts to discourage lawmakers from entertaining people hyping Bitcoin and other cryptocurrency, that he was being pressured.

“I do know you are under a lot of pressure from some of these people that are pushing these things. They see this as a good thing. I can assure you I have a lot of people that are pushing to put our reserves in bitcoin.”

Njoroge suggested, however that he must be able to think for himself before agreeing to the call to convert reserve funds to bitcoin.

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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.