Speaking of the blockchain technology, the world’s first “blockchain baby” was born in Tanzania on July 13, 2018. It is rather unfortunate to say that since then, the crypto space has been rather quiet with a significant drop with the popularity of Bitcoin searches since the beginning of 2019. The current state of Bitcoin in Tanzania is not very different from those in most African countries. In Tanzania, lawmakers have warned citizens against trading cryptocurrencies just as it is the case in most African countries. Despite this warning, there is still a small community in the country that actively trades digital assets.
How Buying and Selling Bitcoin in Tanzania looks like?
There are many digital financial platforms in Tanzania that render the process of buying and selling bitcoin possible. A good example of such a platform is the LocalBitcoins.com that allows Tanzanians to trade bitcoin with ease. The peer-to-peer marketplace offers a uniquely designed and user-friendly digital financial platform for Tanzanians to buy and sell bitcoin through payment options such as Tigo Pesa, MPesa Tanzania, and more.
On September 28, 2019, the report from Coin Dance revealed that the weekly LocalBitcoins trading volumes in the country were slightly below 150 million Tanzania Shillings. Remember that in 2018, Bitbond partnered with BitPesa in order to grant users in Tanzania, Uganda, Nigeria, and Kenya the ability to buy bitcoin and exchange their bitcoin for their local currencies. Bitbond was created with the aim of facilitating funding access to SMEs in Africa. It is a special platform that leverages blockchain technology to make available small loans to businesses. Hence, facilitating the process of obtaining loans for small start-ups.
By so doing, it eliminates the complexity and nightmare experience that is related with obtaining small loans from traditional financial systems like banks. Note here that all borrowers have the possibility to repay the loans with local currencies. Other active crypto exchanges that operate in Tanzania include Remitano, Belfrics, SpectroCoin, and CoinField.
Promoting Bitcoin Awareness in Tanzania
Bitcoin promotion in Tanzania is carried out by its small community of digital currency enthusiast. These communities can be found on social media platforms like WhatsApp, Facebook, and Twitter. It is also worth noting that the Blockchain Tanzania Community has also played an important role in promoting bitcoin awareness in the country.
Bitcoin Regulation in Tanzania
It is unfortunate that at the time of writing, Tanzania does not have a legal framework regulating cryptocurrencies. However, the Director of the National Payment Systems at the Bank of Tanzania (BoT) revealed that the Central Bank of Tanzania is actively accessing digital currencies with the aim of discovering a permanent regulatory solution.