Zimbabwe’s Finance Minister, Mthuli Ncube, has acknowledged that the government is looking into ways to grow cryptocurrencies, as many other countries do.
Speaking to the country’s people at an event in Dubai last week, Ncube claimed the country is already working on making digital currencies like Bitcoin legal, but not legal currency, as El Salvador has done.
The minister stated that digital currencies have grown to be too big to ignore and that adopting them can assist reduce the cost of remittance to the nation. This year’s influx is expected to reach $1 billion. Ncube mentioned that the nation is working on establishing a crypto ETF as one of the key considerations. He claims that plans for these goods are already in the works, with private investors leading the charge.
He said that while the country has no plans to outlaw digital currencies, “our position is that we do not want it to be a currency.” This is something I’d want to turn into an investing class. So, we’ll aim to build crypto-based goods on the Victoria Falls Stock Exchange platform, which is ring-fenced within the offshore zone.
He promised that the ministry has already taken the first step by establishing a sandbox at the Reserve Bank of Zimbabwe (RBZ), where the idea and everything else is being tested in a safe, controlled setting before being moved to Victoria Falls.
These crypto ETF endeavors have no set timetable. However, he pointed out that the active partners assist in developing the index weighting on which the ETF products would be based from Dubai, one of the world’s fastest-growing financial centers.
Crypto ETFs are getting increasingly popular these days. Countries like Canada, Brazil, and Germany have active Bitcoin ETF offerings, although they are relatively new. Zimbabwe’s present action might make it the first African country to launch a cryptocurrency exchange-traded fund (ETF).