After the Reserve Bank of Zimbabwe (RBZ) has declared crypto-currencies for illegal strikes back Golix, the largest crypto stock exchange of Zimbabwe, now. It has asked the Supreme court to examine the legality of this decision. Nevertheless, the crypto has been stopped trading already.
Like BTC-ECHO reported in March of this year, the Reserve Bank of Zimbabwe (RBZ) to all registered Finance companies are banned from dealing with crypto-currencies. In this context, the crypto stock exchanges were instructed to stop their trading activities. The largest crypto exchange in the country, Golix, in front of the Supreme court and the RBZ to complains now about a illegitimate ban.
A question of authority
Golix claimed that the RBZ had no power, such cryptography is to ban it. According to local media, the crypto-stock exchange indicates that only Parliament could bring about such a step in the pathways report. In addition, the RBZ had given no reasonable time frame for the implementation of the ban.
So far, there was no clear legal framework for dealing with crypto-currencies in Zimbabwe. In the past, the Central Bank had pointed out to the citizens on the own risk, you should act with cryptocurrencies. Digital currencies were not recognized previously as a legal means of payment. Nevertheless, any rules and guidelines were announced in this regard. Thus, it was companies that traded with crypto-currencies, not possible to obtain the appropriate licenses. Although the decision of the RBZ needs to be discussed, have been already closed, the Golix-account and trade accordingly prevented.
Neither own nor virtual currencies – and now?
After the Zimbabwean Dollar was due to the enormous Inflation of no more, was stomping the country’s own currency in June 2015. Foreign currencies are in short supply and many of the remittances were withheld by the national Bank. Accordingly, more attractive decentralized crypto-currencies for the financial instability of the country’s suffering population. All the more grateful, the money were adopted machines of Golix, where you could trade both Bitcoin as well as Litecoin,. However, this will now fall to the crypto ban to the victim. Accordingly, the Zimbabweans have to rely on informal Peer-to-Peer trading relationships, not to exchange in order to continue to crypto-currencies.
We are excited to see how the judgment of the court in relation to the crypto ban, will decide and will keep you informed.