The Reserve Bank of Zimbabwe (RBZ) has set the purchase and exchange rates for the Gold-Backed Digital Tokens, which will be available for purchase from May 8. The tokens will have a minimum purchase value of USD $10 for individuals and USD $5,000 for financial institutions and corporations. The initial issuance will close on May 10, and the tokens will have a vesting period of 180 days.
By backing the digital tokens with gold, the RBZ is offering a unique proposition to investors looking for a more stable and secure investment option. This move is expected to attract significant interest from investors in Zimbabwe and other African countries, who are looking to hedge against the volatility of traditional currencies. The introduction of the Gold-Backed Digital Tokens could also have a positive impact on the wider cryptocurrency market in Africa, as it provides a credible use case for digital currencies.
The RBZ’s decision to launch a gold-backed cryptocurrency is a significant development for the African continent, which has seen increased adoption of cryptocurrencies in recent years. This move is expected to offer a viable alternative to traditional currencies and could help to stimulate economic growth and investment in Zimbabwe and other African countries. The success of the Gold-Backed Digital Tokens could also encourage other central banks in Africa to explore the use of cryptocurrencies as a means of promoting financial inclusion and boosting economic growth.
