Zambia is the latest African country to adopt a digital economy after announcing it is testing technology to enable cryptocurrency regulation.
As countries around the world explore regulatory frameworks for cryptocurrencies, Zambia does not want to be left behind. The country’s Science and Technology Minister Felix Mutati discussed the need for cryptocurrency regulation in the country’s capital, Lusaka.
Prior to this development, Ethereum co-founder Vitalik Buterin, along with other Web3 stakeholders, visited the Ministry of Finance of Zambia.
Mutati announced that the Bank of Zambia and the Securities and Exchange Commission are testing technical requirements for crypto regulation. He believes encryption is the country’s future, but revolutionary technology needs proper regulation.
The government is building the digital infrastructure needed to reach the $4.7 million digital payments goal. It also hopes to attract investment to become an African tech hub.
Mutati says, “Zambia has created magnetism that attracts investments, and it is one of the countries in Africa that is becoming a must-be place for investment.”
Finally, the minister is optimistic that “cryptocurrency will be a driver for financial inclusion and a change maker for the economy.”
Zambia Joins List of African Countries Pushing Crypto Adoption
Zambia is not the only developing African country trying to unlock the potential of cryptocurrency. In December, Ibrahim Babangida, the chairman of the House of Representatives Committee on Capital Markets and Institutions of Nigeria, announced the nation’s intentions to regulate crypto.
Babangida wants the country to flow with global economic innovations by regulating cryptocurrencies.
Last month, Bitcoin traded at a 64% premium, at around $37,000 in Nigeria. It was due to restrictions on cash withdrawals, wherein people could only withdraw a maximum of 20,000 naira, or $43.44, per day.