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Bitcoin Becomes Official Currency From African Country!
The Central African Republic has officially adopted Bitcoin, becoming the second country in the world to have its own cryptocurrency. The collaboration with U.S. Bitcoin firm BitMoney will be used to speed up foreign investment, says the government.
Bitcoin, the world's largest cryptocurrency, has been accepted as a legal tender by the Central African Republic. Surprising its investors recently, Bitcoin has been legally accepted by a country for the second time.
According to the statement made by Obed Namsio, spokesperson of Central African Republic President Faustin-Archange Touadéra, lawmakers in the Central African Republic, which has a population of six million, accepted the bill "with applause" before signing the law.
“The adoption of Bitcoin as the official currency represents a decisive step towards creating new opportunities for our country,” Namsio said in a statement translated from French.
Bitcoin becomes the official currency of the Central African Republic
The move comes the day after the country announced its plans for a legal framework for the use of cryptocurrencies. Bitcoin will be accepted as a means of payment across the country, along with the country's national currency, the CFA franc.
Central African Republic Finance Minister Herve Ndoba said the legislation is focused on defining how citizens can interact with digital assets, according to a Bloomberg report.
Bitcoin, the official currency of the Central African Republic
He added that the Central African Republic is not trying to emulate El Salvador, which was the first country to legally accept Bitcoin in September 2021.
The Central African Republic, one of the poorest countries in the world, has faced further economic decline during the years of the pandemic, according to the World Bank. International Monetary Fund; approved a seven-month program in December to spur economic recovery, boost GDP, and improve the government's finances.
Obed Namsio stated that the local government is also focused on changing the economic course of the country, emphasizing the taking of urgent measures that can help improve the lives of citizens.
“The population lives in this fragile economy every day, so we need to bring crypto to the table to renew our social contract,” Herve Ndoba, Minister of Finance of the Central African Republic, said in an interview with the World Bank.
The government has yet to detail its cryptocurrency infrastructure or regulations regarding the legal use of Bitcoin. However, El Salvador had launched its government-backed crypto wallets.