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  • Writer's pictureSarah Dixon

Kenyan Central Bank Makes Its Views On Bitcoin Clear

The Central Bank of Kenya (CBK) governor, Patrick Njoroge, has made his views on Bitcoin clear by describing the calls to convert the country’s reserves into the world’s leading cryptocurrency as outright “craziness.”

The CBK has long made its displeasure toward digital assets in the country known. According to its Governor, Patrick Njoroge, it would be crazy for anyone to think that the country needs to convert its reserves into digital assets such as Bitcoin. He added that there would be an absolutely dire need before he would agree to such a proposal. Njoroge believes that digital assets are volatile, but apart from that, they simply do not solve any real-life issues. Under the governor’s stewardship, the CBK has issued numerous statements and advisories warning the country’s residents against trading or investing in cryptocurrencies.

But despite the central bank and its governor’s views, many studies have suggested that Kenyan citizen's use and investment in cryptocurrencies have grown. As an example, published a piece in which they described data from peer-to-peer exchange Paxful which revealed that users from Kenya had digital assets valued at $125 million during the first half of 2022.

Despite the fact that so many users in Kenya do in fact rely on cryptocurrencies, in a video recently posted to YouTube, CBK Governor Njoroge continues to question the benefit of cryptocurrencies for the Kenyan economy. Among many statements in the clip, he says:

In our economy what problem are they resolving? Are they better vehicles for let’s say payments, transactions? And the answer is no. Are they better in terms of …. security more than a bank account? And the answer is no.

Njoroge continues to say that:

I do know you are under a lot of pressure from some of these people that are pushing these things. Because for them it is good. I can assure you I have a lot of people that are pushing to put our reserves in bitcoin.

Despite the clear evidence of the benefit of cryptocurrencies all over the world, Njoroge still says that he has no plans whatsoever in the near future to see Bitcoin implemented in the country.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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