Bitcoin has considered as ‘Illegal’ by Zimbabwean Central Bank

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Reserve Bank of Zimbabwe (Central Bank), has announced that utilizing the cryptocurrency such as Bitcoin is not allowed in the nation. The bank had already given warning before by saying that the investors in digital currency may lose their money without the recourse.

According to the Reserve Bank Zimbabwe’s Director and register, Norman Mataruka, the utilizing the “Bitcoin is not actually legal” within the country’s jurisdiction. It is not clear, ANyhow, If Bitcoin just not officially recognized as an authorized currency or it is totally prohibited as a legal tender within the country.

He said:

“In Southern Africa, what we have done as regulators, we have said that we will not allow [Bitcoin] in our markets.”

Reserve bank assessing Bitcoin and other cryptocurrencies’ risks and advantages

 

Despite its negative response to Bitcoin, Mataruka has said that the Reserve Bank has started the research and development (R & D) initiative to determine the risks associated with the use of virtual currencies such as Bitcoin and Ethereum. He said the central bank had already announced that the Bitcoin in the country would not be authorized until the regulatory framework will be included with digital currencies.

This comment shows that the central bank is keeping an open mind for the potential legality of cryptocurrencies in the country.

Other South African countries’ reviews on cryptocurrencies

In their statement, Namibian central bank officials claimed that cryptocurrencies are not recognized as legal tender and as foreign currency.

The Reserve Bank of Zimbabwe is not the only regulator which is against the mainstream adoption of the digital currencies such as Bitcoin.

In October 2017, the central bank of Namibia has announced that will ban the utilization of the Bitcoin as a payment option for goods and services. The central bank added that it will also disallow the establishment of virtual currency exchanges within its jurisdiction.

In the statement of Namibian central bank, officers had said that cryptocurrencies are not recognized as legal tender or as a foreign currency.

They stated:

“In addition to the bank not recognizing virtual currencies as legal tender in Namibia, it also does not recognize it to be a foreign currency that can be exchanged for local currency.” 

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