The Central African Republic has passed a cryptocurrency bill legalizing the use of digital assets in the country’s financial markets.
The law will enable traders and enterprises to conduct cryptocurrency payments, including tax settlements through regulated entities.
The legislation also outlines fines of between 100,000,000 to 1,000,000,000 CFA francs and 20 years imprisonment for cryptocurrency offenders.
The bill, which was forwarded by the country’s Minister of Digital Economy Justin Zacko on April 21, was unanimously passed by the legislators except those in the opposition.
Zacko underscored the increasing challenges in transferring money in the African country, saying that the use of cryptocurrencies was expected to be a solution.
Cryptocurrencies, including Bitcoin and Ether, are growing in popularity in the Central African Republic as fiat decreases in value. The CFA franc is backed by the euro, minted in France with the monetary policies managed by the West.