The SARB, South Africa’s central bank, has come up with a digital payments roadmap to address the country’s slow uptake of digital payment technologies.
This roadmap proposes how to apply crypto and CBDC technology to increase financial inclusion and construct the payment system base accordingly.
The central bank has been conducting studies to allow fiat-backed stablecoins to be tested by participating financial entities in the regulatory sandbox for a two-year period. This transferable aspect will likely make many people consider cryptocurrency, but it also brings forward the necessity for regulations, which precede widespread adoption.
Additionally, the bank is still engaged in retail CBDC research, as it could facilitate the transfer of funds for retail transactions in cheaper and faster ways.
The roadmap addresses the obstacles to tokenization, which is the conversion of assets into digital tokens, following a specific regulatory strategy.
Also Read: Economist Predicts Bitcoin to Hit $115,000 in Months
