Namibia’s central bank adds Bitcoin as a valid form of payment

The Bank of Namibia (BON), the nation’s central bank, has now included “virtual assets (VA) and virtual asset service providers (VASP) under its Fintech Innovations Regulatory Framework.

In a statement released on September 23, the BON also noted that, despite the fact that digital currencies like Bitcoin (BTC) are still not legally recognized, merchants and dealers may accept payment in this form if they are “willing to participate in such an exchange or trade.”

The central bank specifically mentioned that it is thinking about amending “applicable laws and regulations diligently in consultation with other relevant authorities.”

The bank’s revised stance on cryptocurrencies seems to indicate that the BON is opening up to them.

According to previous statements from the central bank, it “does not recognise, support and recommend the possession, utilisation and trading of cryptocurrencies by members of the public.”

The bank also informed Namibians that they would have no legal options if they suffered financial losses.

A previous critic of cryptocurrencies, BON Governor Johannes Gawaxab, is quoted as saying that a turning point has been reached in the evolution of money in the announcement.

Gawaxab contends that central bank digital currencies (CBDCs) nevertheless offer something that independently created or issued digital currencies do not.

The BON governor emphasized, however, that his organization would take its time and would also be looking into and analyzing the viability of launching a CBDC.