The Bank of Tanzania is said to be working to lift the cryptocurrency ban amid positive comments from the country’s president on cryptocurrency.

Tanzania’s central bank has begun working on a directive from the country’s federal government that could lead to the lifting of the cryptocurrency ban in November 2019, according to Reuters.

As previously reported by Cointelegraph, President Hassan asked the central bank to start exploring bitcoin (BTC) and digital assets earlier this month.

At the time, Hassan ordered the Bank of Tanzania to keep pace with the times due to the growing popularity of cryptocurrencies.

These positive cryptocurrency ratings followed in the wake of the Bitcoin law in El Salvador and a wave of positive sentiment towards Bitcoin in many Latin American countries.

However, in Africa, regulations regarding cryptocurrency have yet to bypass central bank bans. Back in February, the Central Bank of Nigeria also banned financial institutions in the country from operating cryptocurrency exchanges.

According to Abdul Majeed Nskila, president of the Tanzania Bankers Association, the measure could help diversify financial transactions in a country currently dominated by cash payments.

On this topic: Tanzanian president urges central bank to prepare for cryptocurrency

Nskila also thanked the president for the president’s comments that the Bank of Tanzania needs to get a better understanding of the cryptocurrency market, adding, “The most difficult component for regulators is being taken over by innovation custodians.”

Tanzania is the seventh largest peer-to-peer trade in sub-Saharan Africa, according to Useful Tulips, a worldwide peer-to-peer bitcoin trading tracking platform. Nigeria still accounts for more than half of the bitcoin trading activity in the region.

While clear rules for crypto have yet to be established on the continent, some countries are working with floating central bank digital currencies. The central banks of Nigeria and Ghana made announcements about this in June.

Source: CoinTelegraph

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