Cryptocurrency regulations have been long-awaited by the Zimbabwe economy and Reserve Bank has drafted a new policy regulation. A framework is being proposed where the cryptocurrency exchange and trading will be guided by the central authorities.
It is a great piece of news for the crypto and fintech firms where they would be allowed to possess digital assets and be able to buy and sell. A regulatory sandbox will be developed which will check on the legitimacy of the firms that will be registered. This would ensure that only registered firms are allowed to operate with a strict check on their activities.
It would be a confidence gainer for the masses as holding the digital assets would become legal in the country. Since 2009, the Zimbabwean economy has turned down the integration with cryptocurrencies when Bitcoin was first launched back then. Until now, Blockchain technology and platforms like the-bitcoinbank.com have evolved significantly and digital economy is striking globally.
Fintech firms are encouraged to become authorized by the Regulatory Sandbox where they will be able to enter as a bonafide product, set up partnerships with a local bank, create mobile platforms, and work as a microfinance company. It is a great door opener for economic opportunities and young people are encouraged to become a part of it.
What Importance Does Cryptocurrency Trading Hold For The Economy?
The cryptocurrency and blockchain technology comes with several benefits to the investors’ community. These trading platforms are decentralized where maximum control lies with the end-users. They are able to make decisions on their own at what price they need to buy and sell their commodities.
Recently, it was rightly highlighted by the Supreme Court of India where they pointed out that the cryptocurrency should be regarded as a commodity rather than being considered as a threat to local currency. It is a medium for holding money and later on converting them to fiat currency as per one’s liking.
There has been a major makeshift in the minds of people to find investments that pay the return on a monthly basis due to recent economic crises. The loss of jobs and business closure at a high rate has thwarted the decades-old mindset of traditional financial securities. The youth population is affected the most who aren’t able to find employment opportunities for themselves.
This trading platform would enable the people to get started with smaller share of their investments. Everyone can get started on their own if they gain the right knowledge and learn techniques that can lead to profit generation for them through online trading. There are no questions raised to the security of transactions that take place on the blockchain network.
However, a precautionary measure needs to take place before carrying out any transaction as they aren’t reversible once done. Third parties’ interference isn’t allowed on the network so investors have to micromanage on their own. The responsibility solely lies with the digital asset owners how they store and use them in a secure manner.
Rest, Zimbabwe will soon have its own set of platforms where local investors can make the most out of it. It is needed by the economy and people to flourish while engaging in global digital trade. Let’s see how things are shaped up in the near future