Bitcoin’s fast popularity growth in Zimbabwe

By The Standard and Newsday | Dec. 2, 2021 | 3 Min read

The economies of African nations continue to grow rapidly with the new age of finance ushered in by cryptocurrency

The economies of African nations continue to grow rapidly with the new age of finance ushered in by cryptocurrency. Zimbabwe is among the latest to join this trend because their government was initially against it. They even had legal restrictions for the use, possession, and trading of virtual assets. Fast forward to today, they became the leader in Bitcoin trading among its neighbouring countries in Africa.

The Bitcoin economy’s rapid growth in Zimbabwe is largely credited to BitQT, an AI-driven trading platform. Bitcoin’s trading price in the country reportedly reached 10x the average selling price due to the sudden surge of investors. That soon stabilized to match its rate from the rest of the world in the following months, making it easy to exchange with foreigners.

Zimbabwe changed its general stance on Bitcoin thanks to Mthuli Ncube, the country’s finance minister since September 2018. He saw the crypto centre as a fascinating hub for payment solutions. This inspired the idea in Zimbabwe that crypto can lessen diaspora remittance charges. The country then became the centre of attention of any Ethereum, Tron, and Dogecoin blog on the continent as a new participant in the network.

Crypto’s rapid growth around the world

The crypto economy’s growth is not exclusive in Zimbabwe. Throughout 2021, Bitcoin and Ethereum have completed new milestones around the world. Bitcoin became a legal tender in El Salvador and now the whole world is seeing how successful the country is going to be. So far, so good, as most of the country’s population now have access to their local wallet, Chivo.

El Salvador is also trying a new potential sustainable source of energy for mining Bitcoin. Ethereum, on the other hand, continues to develop its network to implement a more sustainable system that can let its miners thrive without needing too much energy. That way, it can still be supported using power sources like coal or weaker power providers like solar energy.

How Bitcoin is becoming popular in Zimbabwe

The Zimbabweans aren’t focused on mining but they are studying how to accept it as a legal tender. The popularity of virtual assets revolve around regular citizens escaping poverty. Zimbabwe was once a struggling country with a hyperinflation rate that rendered their money useless. They even started using the United States dollar instead.

The economy was a mess because they lacked physical cash to distribute due to how the US dollar has to be imported from abroad. Despite this, Zimbabweans cannot return to their local currency after their leaders’ bad decisions caused it to inflate. Both of these issues are solved by virtual assets, specifically by Bitcoin.

Cryptocurrencies are designed to be independent of any central authority. Its economy is based entirely on supply and demand. Adoption from neighbouring countries like Nigeria and Kenya cements the security of Bitcoin from losing value. Being a digital asset also appeals to Zimbabweans as distribution is never an issue.

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What Zimbabweans are looking into the most is the lessening of remittance charges. The country is famous for its human resources working abroad. It also helps local businesses accept customers or clients from abroad. Zimbabweans can accept virtual assets as payment then use international web-based exchanges to convert them to fiat.

AI-operated exchanges like BitQT are an amazing help with this process. They have cheaper fees than company-owned platforms so Zimbabweans can get more profit from the tokens and altcoins that they sell.

Zimbabwe’s crypto portfolio

A report in May 2021 revealed that Zimbabweans have the most diverse crypto portfolios in Africa. Bitcoin is only one of the most popular investments in the country as it has the widest variety of uses. Other crypto that they invested in are great stores of value for remittance such as Ripple and Tether. Ethereum also blew up in popularity with the new updates on both the mainnet and beacon net that made gas prices cheaper.

Zimbabweans are not concerned with penny cryptos that can become the next Bitcoin. To them, the current top assets are better investments because they are already accepted as payment by many traders. They are more focused on any Ethereum, Tron, or Dogecoin blog that focuses on adoption rather than market trends.