Will Bitcoin become the official currency of Zimbabwe?

By Daniel Zo Bitcoin, Zimbabwe, Hyperinflation

Along the centuries, all of the world’s countries have faced strong economical disasters, debts, inflation and more. As time passed, most of these coins have evolved and became strong currencies, which are now responsible for large transactions on a daily basis.

However, one currency which is in great trouble at this moment in time is the Zimbabwean dollar, which has reached a state of hyperinflation where one US dollar would buy you a total sum of 35 quadrillion Zimbabwean dollars, which yet again proves the fact that the country’s recent economic strategies, politics, and leaders have failed to change the financial system into a better one. As an effort to avoid getting the currency even more inflated, the country’s leaders have decided to put an end to it, as the country is currently doomed with the world’s worst economy.

In order to do this, all citizens who hold Zimbabwean dollars in their bank accounts will be granted US dollars, according to a well-established conversion rate that will be practiced. It’s important to note that the highest note the country has printed is that of 100 trillion Zimbabwean dollars which is not even enough to get to work via bus for a full week.

Once all of the money held in Zimbabwean dollars is converted to US dollars, the country’s national currency will reach its official end. At this point, many of you may be wondering what will happen to the country’s financial system and how people will be able to pay for their life necessities.

Well, we don’t know! However, reports indicate that for a certain period of time, the US dollar will be accepted almost everywhere as a form of payment, before the country comes up with a new currency. However, doing so is not as easy as changing the name and printing different bills. Instead, the government will need to go ahead and be creative to come up with a new financial system, bound to improve the economy of the country. Certain sources point towards the idea that the country will adopt the pan-African currency known as Africoin. This represents a union-backed currency, supported by Bitcoin instead of US dollars, which means that in a way or another, Bitcoin could become an official currency in Zimbabwe, which is both extremely surprising, but also scary at the same time.

Economic analysts from all around the world have begun expressing their opinion on whether the new proposed financial system of the country, backed by bitcoin, will actually succeed. There are lots of questions marks to keep in mind, but this just might bring in a Bitcoin popularity boom in the next couple of years.

Based on everything that has been outlined so far, do you think that this is a long-shot, or does the idea have potential? Let us know your thoughts in the comment section below.