Since cryptocurrency went mainstream, countries and governments have had mixed reactions to the technology and its adoption. Some countries were quick to adopt the technology, while others required and still need more convincing before they can regulate and adopt cryptocurrency in their country. Although this is the case, recent reports have shown a sudden increase in cryptocurrency adoption and acceptance in many countries. In May 2022, news from countries worldwide shows that more governments have considered cryptocurrency. These reports also affect other countries to adopt similar policies that lead to more adoption and use of cryptocurrency in their country. Some of the main points include the following:
The month’s biggest news was that the Central African Republic had signed a bill that legalized and allowed the use of Bitcoin as a legal tender for transactions. As soon as this news broke, there was some controversy as the country’s central bank was not involved in the process. Some of the reasons why this news might have a huge impact on the region include; the first and main reason is that most countries in the region do not have a stable economy.
Central African countries use the Central African Franc, controlled partly by the French Central Bank. It has caused a lot of problems for the countries and damaged the economy of these countries. By the Central African Republic going crypto, they might provide a possible solution to one of the problems they have been struggling with for decades. Other countries in the region might follow in their footsteps. The second country that has had a huge impact on how governments view cryptocurrency is Cuba.
Cuba has already passed a bill that allows cryptocurrency to be a legal way to pay for goods and services in the country. Although this is relatively new news, the country is ready to start issuing financial organizations licenses to allow them to operate and offer virtual currency licenses from May 2022. It will help boost cryptocurrency adoption in the country and improve the economy. Next on this list are two countries trying to regulate cryptocurrency to ensure the technology is used for the right purpose. The first is Brazil which has already signed a bill to regulate cryptocurrency. This bill will help to give people and organizations in Brazil peace of mind knowing that cryptocurrency will not be used for the wrong purpose or they will not suffer from hackers and fraudsters. The second country on this list is Panama. Panama has already passed a similar bill as Brazil, but the reason behind their intentions is the most impactful part. If possible, Panama plans to make the country the most crypto-friendly country in the region or the world. It will attract investors and crypto companies to the country and boost their economies. The last on this list is Switzerland. The country is considering holding Bitcoin as one of the assets in its portfolio. Countries hold assets such as gold to be used to give their currency value or to help on a rainy day. Switzerland is planning to have Bitcoin as one of its assets, just as many companies have, including Goldman Sacks, one of the biggest companies in the United States of America.