Is Cryptocurrency trading legal in Botswana?

Since there are no regulations on cryptocurrencies or the use of blockchain technology in Botswana, the question often arises whether cryptocurrency trading is legal in Botswana. Botswana’s relationship with cryptocurrency seems to be antagonistic, but currently it is not illegal to trade it, while it appears that the government continues to monitor the technology

Is Bitcoin trading possible in Botswana

Up to now, government-affiliated officials have treated cryptocurrency with scepticism and the Governor of the Bank of Botswana (BOB) had on occasion informed the public that cryptocurrencies were neither controlled nor regulated by the BOB, cannot be transferred into Botswanan Pula, and pose a threat to the efficacy of central bank mandates.

But despite the government’s view on cryptocurrency, Bitcoin (BTC) economy is active in the country with traders using apps and exchanges like Altcoin Trader for trading. Some expect that the continued launch of blockchain start-ups will necessitate reconsideration and closer scrutiny by BOB.

There are several bitcoin enthusiasts in Botswana who brave the obstacles to fund their wallets for Bitcoin transactions because there are no local cryptocurrency exchanges where enthusiasts can trade Botswana’s fiat currency Pula for Bitcoin.The declarations of the BOB makes it impossible for cryptocurrency exchange platforms to set up a base in Botswana since Banks will not provide intermediary financial services and cryptocurrency exchanges for the public.

A drive for diversification by the president of Botswana may be an important catalyst for Bitcoin and blockchain technology adoption in the country, supported by the recent price increases of Bitcoin. The Bitcoin price is forecasted to increase to surpass the $100,000 mark by the end of 2021 and with the high adaptation rate of BTC across the globe, more Bitcoin start-ups are springing up and may force Botswana’s Central Bank to regulate cryptocurrencies.

Must Read: Day Trading for Beginners: How to start day trading

Alternatives to Buying Bitcoin in Botswana

One alternative way of trading Bitcoin is using crypto exchanges based in South Africa and paying online with globally accepted credit or debit cards. Other alternatives comprise transacting Bitcoin via Peer-to-Peer modes on WhatsApp groups and social media platforms, which are totally unregulated and prone to scam activities.

Conclusion

The Bank of Botswana is currently not interested in regulating cryptocurrencies but apparently also has no intention of banning cryptocurrencies in the country. In fact, it cannot declare a ban on cryptocurrencies since it does not control the internet. It is hoped that the central bank governor would follow the trend by providing regulations for cryptocurrencies and cryptocurrency exchanges in the near future. In the meantime the Botswana public continues to push for the adoption and regulation of Bitcoin.