The Central African Republic has adopted bitcoin as legal tender, making it the second nation in the world — after El Salvador — to do so. On Wednesday, President Faustin Archange Touadera’s office released a statement announcing that the measure is now law.
According to the bill, the use of bitcoin and other cryptocurrencies in transactions is a legal form of payment along with the CFA franc. Touadera’s chief of staff Obed Namsio noted that Central African Republic is the first country on the continent to adopt bitcoin as legal currency. “This move places the Central African Republic on the map of the world’s boldest and most visionary countries,” he said, according to a report from the Associated Foreign Press.
Legislators approved the bill that allows for cryptocurrencies and its users to engage in online trade and electronic transactions. Additionally, exchanges will not be subject to taxes.
A developing country, Central African Republic has a population of approximately 5 million. Though the country is rich in mineral deposits and other natural resources, it has faced economic and humanitarian challenges for decades. This new move into cryptocurrency is one of the nation’s latest efforts to improve CAR’s financial infrastructure.
More to come.
