The Central African Republic Adopts Bitcoin As Legal Tender

The Central African Republic Adopts Bitcoin As Legal Tender

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Following in the footsteps of El Salvador, the Central African Republic (CAR) has passed a bill legalizing BTC as acceptable tender in the country. 

BTC Is Legal In This African Nation

The CAR became the second country in the world to make this move of legalizing BTC after the Central African Parliament unanimously passed a bill that would make Bitcoin a legal tender in the country. This move also marks CAR as the first African nation to legally adopt a cryptocurrency as a tender. The decision was a part of the country’s plans to boost its economy and was first introduced by the digital economy, post services, and telecommunications minister, Gourna Zacko, and the finance minister, Calixte Nganongo. Both the ministers worked on a framework for BTC adoption and crypto regulation in CAR and passed it through the Council of Ministers. 

CAR Inspired By El Salvador

The law also highlights all the modes of payment that could facilitate BTC transactions while abiding by proper rules and regulations. Popular crypto investors and enthusiasts have applauded this move, referring to it as “another domino” to fall after El Salvador’s landmark decision to establish BTC as legal tender last year. The adoption of BTC in CAR is expected to revamp the country’s infrastructure, as the initiative introduces and implements blockchain technology in multiple sectors across the CAR’s economy, giving it the new Web 3.0 boost it needs. Both the leading political parties in the CAR, Mouvement Coeurs Unis (MCU) and Mouvement National des Indépendants (MOUNI), have voted in favor of adopting crypto and blockchain tech. 

Catalyst Of The Domino Reaction

It has not even been a year since the Central American nation of El Salvador officially adopted BTC as legal tender. The country’s president, Nayib Bukele, has been the strongest proponent of the initiative and has not held back in voicing his opinions against all naysayers. Since the adoption, the country has seen a massive uptick in the volume of visiting tourists and a large number of investments. Moreover, the large number of Salvadoreans living outside the country, who used to depend on the USD to send remittances home, now have a simpler and lower-cost alternative. Along with legalizing BTC, El Salvador had also introduced the Chivo wallet app and ATMs to facilitate easier BTC transactions and cash withdrawals. 

Inspired by El Salvador, Madeira (an autonomous region of Portugal) and Prospera (an island under Honduras’ jurisdiction) have also revealed intentions to legalize BTC as acceptable tender. 

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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