It might appear as if I am stalking Finance Minister Mthuli Ncube but some of the things he has said recently have been concerning. Last week Prof. Mthuli Ncube toured a Dubai Crypto Hub and tweeted that he had found a way to make remittances cheaper while there. Now, if you have been around Techzim for while you’ll know that there are a number of crypto startups that are innovating.
In my previous article, I forgot to full expound on Uhuru Wallet which is a local crypto startup that deals specifically with remittances. It has been in operation for some time but the Minister, for whatever reason, decided to look abroad for solutions locals are actively trying to solve.
Why I say this is because local players are far more attuned to the needs of their markets. If there was anything to learn it would be to seek out these startups and actively engage with them. This isn’t to say I am opposed to seeking knowledge elsewhere. However, without taking a closer look at what local crypto startups are doing how can anything be implemented to properly benefit Zimbabwe.
Mthuli Ncube says we should prepare for crypto asset investment
In his latest tweet concerning cryptos, Prof. Mthuli Ncube said the following:
SALT New York. Crypto assets will keep growing as an investment class. The prognosis is that investors will hold more and more crypto assets in future. Let’s prepare for it. pic.twitter.com/kSllPW1rgk— Prof. Mthuli Ncube (@MthuliNcube) September 13, 2021
“SALT New York. Crypto assets will keep growing as an investment class. The prognosis is that investors will hold more and more crypto assets in future. Let’s prepare for it.”
First off, all of this is encouraging. Minister Mthuli Ncube seems to be the lone crypto evangelist in the government. But on the other hand, saying we should prepare for investors holding on to cryptos more and more is yet another slap in the face to local startups, no matter how you choose to interpret his tweet.
Local crypto startups have been, against the tide of the Reserve Bank of Zimbabwe, grinding away at making their solutions viable. They have been preparing for the day when the government decides to make cryptos legal and tradable.
I am sure that there were some very enlightened and knowledgeable people in New York. But without establishing a baseline with local players how can the government prepare itself for a future that, at the moment, looks to have crypto as a big factor.
I’ll close with a reply from Zimbabwean Financial Services Lawyer, Prosper Mwedzi in reply to Prof. Mthuli Ncube’s tweet about crypto assets.
Crypto+blockchain is the future and if you want confirmation of that look at Wall Street and Asia-$4.4bn raised by US crypto startups from VCs only in second quarter of 2021. Current ban by RBZ for banking sector starving capital inflows into this space. https://t.co/SY9bKSHhae— Prosper🌋Mwedzi (@prosmoon) September 13, 2021