Increasingly, the world’s governments are becoming aware of the impact that the cryptocurrency revolution is having and will continue to have.
Many countries have begun to deepen their knowledge of blockchain technology and how it can be applied in different sectors within their economy.
Since Facebook announced the launch of its own cryptocurrencies, there had been a race by the major economic powers to regulate and control the cryptocurrency market.
This is largely due to the threat it poses to their monopoly of the financial markets as a result of its decentralized nature. Some countries have taken a different approach by attempting to create their own virtual currencies.
These digital tokens serve to integrate the populace to the cryptocurrency market without losing control over the country’s monetary policies. A number of countries have embarked on this and one country that could join this list is Rwanda.
National digital currency
Rwanda is believed to be exploring the launch of its own cryptocurrency according to Bloomberg.
According to the report the National Bank of Rwanda (BNR) has been in research with the Royal Bank of Canada (RBC), De Nederlandsche Bank (DNB) and the Monetary Authority of Singapore regarding the launch of a national token.
Peace Masozera Uwase the director of financial stability at BNR revealed to Bloomberg that the major drawback with the project is the conversion of physical money into digital currency.
« There is still concern about how exactly you convert all money into digital money, how you distribute it, and how fast you can process those transactions «.
The National Bank of Rwanda has, so far, been quite active in monitoring the cryptocurrency market, alerting the population against possible scams in the sector.
However, this would not mean that a Rwandan digital currency will appear in the short term.
Uwase himself commented, ” There are challenges in this. If the technology fails, how do you face the challenges this brings? We will enter the moment we feel ready «.
However, the fact that a country like Rwanda, is interested in learning about the use of Blockchain technology to improve the quality of life of its inhabitants, is a fact of great importance that demonstrates the scope of the crypto revolution.
It remains to be seen whether this will spread to other parts of Africa. The continent has been slow to explore the potentials of blockchain technology and this could change in the coming months.