The Central African Republic has adopted a bill to make Bitcoin and other crypto legal tender in the country, Forbes Monaco reports.
The Central African Parliament approved the bill on April 21, 2022.
This makes The Central African Republic the second country in the world to legalize Bitcoin. Last year El Salvador was the first to accept Bitcoin.
The main difference between these two countries is that El Salvador had no own fiat currency prior to Bitcoin legalization, using UD Dollar instead, while The Central African Republic has one.
Why did this small African country adopt Bitcoin?
According to the reports, the authorities of The Central African Republic consider this decision to be a prominent part of the country’s plan for development and economic recovery. The country envisions better development and economic performance with the adoption of cryptocurrencies.
The bill was prepared and pushed by ministers of telecommunications and finance. They both claim crypto is essential for developing digital economy.
Cryptocurrencies are to become legal tender and legal modes of payment in the country as the bill proposes the proper rules and regulations. And blockchain technologies will appear in various sectors of the Central African Republic’s economy.
The Central African Republic is a small country in the center of the African continent. Its populations is about 4,8 million people speaking mostly French and Sango.
Who else is adopting Bitcoin as legal tender?
The process of crypto legalization remains sluggish. There is a number of countries currently discussing such a possibility, but we still have to wait for the adoption of relevant laws.
El Salvador was the first country to claim Bitcoin not only a legal tender, but in fact the national currency.
We also received pleasant news from Madeira, Portuguese autonomous region, and one special economic zone in Honduras. Bitcoin and other cryptocurrencies are now a legal tender in both areas.
Сonflicting news come from Ukraine. And the word ‘conflicting’ is here not because of the ongoing war with Russia.
In march Ukrainian government passed the bill to legalize crypto. But by the end of April the purchases of Bitcoin and other cryptocurrencies in Ukraine with national fiat money were prohibited. Ukrainians can buy crypto only for US Dollars, with a ridiculous limit of $3,400 a month. It’s worth mentioning that a previous law kind of prohibits Ukrainians to buy foreign fiat currency also. According to the authorities, all of that is only to prevent the capital outflow from the country during the war.
Families of those who went abroad with their children to avoid Russian bombs and missiles would disagree.
So whether Ukraine is about to be the next country to adopt Bitcoin as legal tender remains to be seen.