After El Salvador, and a small part of Honduras, legally made money from bitcoin (BTC), a race of sorts seems to have started. Recently, there has been more news about possible plans by various countries to make bitcoin a legal tender as well. The Central African Republic is now officially the second country to take this step, AFP news agency reports:
#BREAKING Central African Republic adopts bitcoin as legal currency: presidency pic.twitter.com/wjxYWl7W2z
— AFP News Agency (@AFP) Apr 27, 2022
First African country to embrace bitcoin
There already went one Rumors circulated about this plan, but at first it looked like it wouldn’t be right. The African country has bitcoin Today legal tender created. The French AFP writes this on the basis of official reports from the government. That means Bitcoin is now legal tender in the country, alongside the Central African franc (ticker: XAF). The decision was announced by the Minister of the Digital Economy, Gourna Zacko, and the Minister of Finance, Calixte Nganongo.
The second Minister of Finance, Herve Ndoba, declared last week: Bloomberg that all of Africa is generally later in adapting to new developments. By fully legalizing Bitcoin relatively early, the country is one step ahead of the rest of the world. The country is not only fast with it, it is the first African country to make Bitcoin legal money legally. The Central African Republic has a population of 4.8 million, yet only 11% have actual internet access.
Misinformation about bitcoin as a legal tender
Recently, there has been quite a bit of misinformation about bitcoin and its status as a legally accepted money. For example, the rumor that the Central African Republic would give bitcoin an official monetary status at first turned out to be incorrect. So this turns out to be true. The Portuguese island of Madeira was also supposed to declare the status, but this also turned out to be incorrect. The rumors that Malaysia would change tack were also untrue. At the same time, last fall, half of Brazilians saw bread in the largest crypto as legal tender. Brazil is voting today on a crypto legislation.
†Legal tender’ means that bitcoin is official money, which means that sellers are not allowed to refuse it if customers want to buy things with the currency in question. It is striking, however, that the price does not or hardly respond to the news.