The Central African Republic has adopted Bitcoin as a legal tender. This has made CAR the first African country to officially adopt cryptocurrencies and the second-ever nation to do so after El Salvador did the same a few months before.
The CAR parliament came to a unanimous decision in the week of April 18, 2022, regarding the use of cryptocurrency. President Faustin-Archange Touadera’s chief of staff Obed Namsio was the person who signed the ball which secured the new financial option.
For the longest time, CAR has only used the Central African CFA franc as its official currency. This is governed by the Bank of Central African States or BEAC which just released a statement regarding the use of Bitcoin. BEAC suggested that Bitcoin could upset monetary stability in the six-member Central African Economic and Monetary Community.
This has been a point that has long been discussed and they are still showing their concern. It should not be the case because Bitcoin has proven to be a great asset that will not monumentally shift the overall market. They should look into the positives that Bitcoin can bring, including the rise of platforms like exchanges and online casinos where they can play Bitcoin slots and other games.
Both El Salvador and the CAR have accepted Bitcoin as a legal tender which has opened up the path for cryptocurrencies to take over the financial world. Now, let’s take a look at why El Salvador and CAR’s adoption matters.
Now that CAR and El Salvador have moved forward with Bitcoin as a crucial part of their payment systems, other countries have shown interest in making the same move.
Nations like the United States and Japan have long been hubs of the crypto market. However, they aren’t as decisive as CAR and El Salvador because they have to undergo longer processes with their potential adoption of Bitcoin and other kinds of cryptocurrencies.
This will be a step-by-step process which means that other countries should not directly copy what CAR and El Salvador did. However, that may come sooner rather than later because of the popularity of Bitcoin and the rest of the crypto market around the world.
The crypto market has always dealt with inflation. The value will keep increasing which has led to people showing trust in the crypto market because they have the chance to grow their portfolio in the long term.
The increased adoption of cryptocurrencies will also matter in this case because the crypto market will keep growing if user interest is there. Platforms like PayPal have proven that online payment systems will be useful and cryptocurrencies are an evolved version of that. This is why the adoption of Bitcoin as a legal tender in El Salvador and the CAR matters because that is a manner in which the crypto market can grow further.
Bitcoin and the rest of the crypto market have been adopted across different industries. Companies have proven that they are interested in the crypto market. The NBA’s Los Angeles Lakers have shown support to the industry with their partnership with Crypto.com. Even social media platform Reddit has partnered up with the Ethereum Foundation by implementing community points to Reddit users to reinforce positive behaviour.
Even the likes of PayPal and Visa have entered partnerships with crypto companies because they realise that the market is too lucrative to ignore. People are showing their interest in cryptocurrencies with Bitcoin leading the charge. Now, you can see that this solid value is in El Salvador and the CAR which is just the start of a worldwide movement for the crypto market.
Even the gambling industry has accepted the crypto market and integrated it into the system. You can even play Bitcoin slots on gambling platforms now which means that you can use these cryptocurrencies for both payments and rewards moving forward. The crypto market will continue to grow with Bitcoin as the top cryptocurrency that is being accepted in most industries.