GOVERNMENT URGED TO TURN CRYPTOCURRENCIES INTO LEGAL TENDER

Bitcoin traders have called on government to consider turning cryptocurrencies into legal tender.

Speaking to UNZA radio, Bitcoin trader Chibanji Sinkala says regulating the cryptocurrency is a better way to protect the cryptocurrency of traders.

Meanwhile, Bank of Zambia (BoZ) said it stands by the press statement issued in 2018 by former Head of Communications Kanguya Mayondi in which he disclosed that the bank considers cryptocurrencies as an illegal tender.

Mr. Mayondi has warned that those conducting transactions in the cryptocurrency will have nobody to turn to or blame in the event of market failure. 

BoZ does not oversee, regulate nor supervise the cryptocurrency landscape.All activities related to the buying, trading or usage of cryptocurrencies are performed at owner’s risk, 

Mayondi.

Mr. Mayondi added that the decree was solely issued because it wants to promote the depreciating Kwacha, and that nothing on that matter has changed.

Some of the risks may include money laundry, fraud and hacking. These are cases in which customers can not take any legal action against culprits,

Mayondi.

The Head of Communications added that section 30 of the BoZ Act vests the right to issue notes and coins exclusively in the BoZ.

He further stated that the bank would need parliament to amend the law that enabled its own establishment for it to be able to claim any authority over cryptocurrency investments or trading.

Mr. Mayondi has urged the general public to fully understand and be aware of the risks associated with the use of cryptocurrencies.