The Bank of Zambia along with the national Security Exchange Commission is testing technology to enable the regulation of cryptocurrency in the country
The Ministry of Technology and Science of Zambia announced it was testing the technology on crypto regulation as part of deliberate measures to achieve an inclusive digital economy for the country.
Although Zambia is viewing cryptocurrencies as revolutionary financial technology and sees it as part of “the future the country desires to achieve”, it lacks a policy framework that could support the introduction of crypto.
Currently, the country is developing appropriate digital infrastructure, attracting investments in technology and creating access to the crypto ecosystem. The government targets to achieve over $4.7 million worth of digital payments volume, which will have a profound impact on the national economy.
Cryptocurrencies are not legal tender in Zambia, though a few crypto exchanges and related companies are offering crypto trading services to the citizens of this country. Introducing proper regulations will facilitate safe crypto transactions and promote market growth.
Overall, the region’s crypto industry is continuously growing. Total Africa’s crypto market increased by more than 1,200% between July 2020 and June 2021, according to analytics firm Chainalysis.