- According to the International Monetary Fund, the Central African Republic’s adoption of Bitcoin as legal tender poses several issues for the country and the region, reported Bloomberg.
- Related: A Second Country Adopts Bitcoin As Legal Tender
- The decision to adopt the cryptocurrency drew criticism from opposition parties and was made without consulting the regional central bank, which manages a common currency used by six countries, including the Central African Republic.
- “The adoption of Bitcoin as legal tender in C.A.R. raises major legal, transparency, and economic policy challenges,” the fund said in an emailed response to questions. “IMF staff are assisting the regional and Central African Republic’s authorities in addressing the concerns posed by the new law.”
- The government claims that allowing Bitcoin to be used as legal tender will help the Central African Republic’s economic recovery and growth and help stabilize the country, which has been ravaged by a decade-long civil war.
