By Alicia Maher
Despite its well-known price instability and the recent price correction, Bitcoin has continued to enjoy widespread adoption all around the world.
Multiple reports making the rounds revealed that the Central African Republic (CAR) had become the first in Africa’s continent to officially approve the use of BTC as legal tender, second to El Salvador on the global stage.
The Central American nation was the first to approve Bitcoin as a legal tender after its crypto-enthusiastic president announced it earlier in the year, culminating in the country stashing huge amounts of other digital assets as reserves for Bitcoin’s adoption.
Binance CEO Chanpeng Zhao also took to his Twitter handle to announce the news, which the industry sees as another win for the progress of digital currency adoption.
Bitcoin, a Part of CAR’s Economic Recovery
The new development means that the flagship digital currency will now be used for payment in the country, making it the first African country to make such a move.
According to the report by Forbes Monaco, CAR’s National Assembly voted unanimously to adopt BTC as a legal tender and make it a part of its economic recovery plans.
Forbes Monaco further added that both the Minister of Finance and Budget and the Minister of Digital Economy jointly forwarded the draft law, which recognizes Bitcoin as a legal tender and submitted the legal framework that would regulate crypto operations to the National Assembly.
The Central African Republic Poised to Transform its Digital Finance Industry
It is widely believed that the recent development will usher in a new course of action and help transform the digital asset ecosystem in the country. The Central African Republic has previously eyed the possibility of incorporating Blockchain technology in its financial sector, and the adoption of Bitcoin is seen as a major boost to the implementation of blockchain innovations and services.
In a show of support to the government, the opposition parties also support the move taken by the government as it is believed that the adoption of digital assets is a win-win situation for all in the country.
Both the main opposition parties in the Parliament have voted in favor of the government’s drive to bolster the country’s economy.
Bitcoin, and by extension, cryptocurrencies, are now the hope of countries facing huge economic challenges as digital assets are believed to be the answer to help free them from the mounting pressure of external borrowings.
The past couple of months have not been favorable for the majority of the world’s economies, and any measure to help shore up the reserves and earnings of the governments has been aggressively followed by many.
However, Bitcoin, just like other cryptos, is known to be volatile; it still has not stopped many people from exploring the possibility of using it to revive an ailing economy.
The magnetic effect of Bitcoin adoption is gaining traction, and more of such adoption from other countries are on the way.