Zambia explores digital currency, but warns against crypto

Cryptocurrencies are not legal tender in Zambia, the central bank said earlier this month and ‘people who want to deal in them should have a clear understanding of all the risks that come with such payment and investment instruments’. — Photo by Kanchanara on Unsplash

Zambia’s central bank expects to complete research on forming a digital currency that could cut transaction costs and boost participation in the formal financial system by the fourth quarter.

“The results of the research will form part of the input in the policy considerations on whether to introduce a central bank digital currency in Zambia,” Nkatya Kabwe, acting assistant director of communications at the regulator, said in response to emailed questions.