Zimbabwe has made a move that would suggest that the African country’s stance on cryptocurrency is starting to shift to a more positive and friendly outlook.
Indeed, the nation was once a region that was not initially accepting of virtual currency and did not appear to have any plans to look to implement it, however, the latest news coming out of the region would suggest that there could be some change on the horizon.
Zimbabwe could be about to shift its position
The Government of Zimbabwe has recently confirmed that it has signed an agreement that will allow a company to collect taxes from crypto and other content providers, thus potentially signaling a shift and making the country crypto-friendly in the future.
The agreement has been signed with Daedalus World Limited, which is a British Virgin Islands-based organization, and will allow the company to collect taxes from companies that offer “betting, gaming and cryptocurrency services to persons and organizations within the territory of the Republic of Zimbabwe.”
The governor of the Reserve Bank of Zimbabwe (RBZ) had said that the country had been opposed to cryptocurrencies on December 8 but admitted that they were interested in developing its Central bank digital currency (CBDC).
Crypto gambling has become rather popular
Indeed, crypto gambling has become a rather popular activity within Zimbabwe in recent years as much of the population has turned to holding and using virtual currency in order to enjoy certain betting activities. There have been a couple of reasons for this, including the games they can choose to play and the advantages that they can benefit from when using digital assets compared to fiat currency.
Those that have played BTC casino will have noticed that they are able to get the same level of gameplay experience, but they are able to benefit greatly in a variety of different ways. One of the major benefits is in regard to value.
Zimbabwe is known for having a real issue with inflation in regard to its Zimbabwe dollar currency, with the value having been hard to keep consistent. Using Bitcoin has allowed them to be able to keep some value as it is tied to a particular currency, thus providing them with a sense of stability, despite the volatility and fluctuations in price that can actually be experienced by the crypto.
Moreover, players will find that they will be able to enjoy cheaper and faster transaction speeds, whilst they will also be able to experience a greater degree of privacy, including a level of anonymity.
Partnership announcements suggest a change of heart
A general notice to have been published by the information technology minister, Jenfran Muswere, may be further evidence that the African country has had a change of heart on its position regarding cryptocurrency and may start to embrace it instead.
A January 19 notice stated: “The Republic of Zimbabwe entered into a public-private partnership agreement with Daedalus World Limited of Tortola, British Virgin Islands, in terms of which Daedalus World Limited will assist the Republic of Zimbabwe by providing a revenue collection service through taxing qualifying companies that provide digital advertising, content, cloud computing, e-commerce [and] gambling.”
Additionally, part of the tax revenue collection deal with Daedalus World Limited to have been agreed suggests internet giants like Google, Youtube and Facebook will be targeted. However, there has been no information about the schedule of taxation parameters or thresholds for the targeted businesses yet.
Therefore, the move certainly appears to suggestthat the stance on cryptocurrency within Zimbabwe has started to change and it could be only a matter of time before the African nation begins to fully embrace it in the future.