Over the past decade, Zimbabwe has experienced a prolonged period of financial crisis. The situation is yet to improve. Subsequently, Zimbabweans are looking of reliable alternatives. While mobile money has turned out to be one of the viable solutions, the premiums are currently as high as 40%. These hitches justify the increased adoption of bitcoin in Zimbabwe. This article will show you how to buy cryptocurrency in Zimbabwe.
The situation was so bad that in 2009, the government stopped printing its currency and allowed the public to use foreign options such as the South African Rand and U.S. dollar. In 2015, the country completely switched to the U.S. dollar before reintroducing its RTGS dollar in 2019. In an effort to alleviate the crunch, the government discontinued the use of foreign currencies as legal tender.
Benefits of Trading in Bitcoins in Zimbabwe
- No cash withdrawal limit. Following the introduction of the new Zimbabwean dollar, the national government has collaborated with banks and mobile money providers to try and curb hyperinflation by limiting withdrawals. Currently, one cannot withdraw more than 300 Zimbabwean dollars ($20) in a week. Cryptocurrencies like bitcoin are a suitable solution to this scenario since there is no limit to the number of bitcoins you can buy or sell at a time.
- Borderless currency. With cryptocurrencies being a globally-recognized currency, you can make transactions throughout the world. This is unlike a conventional currency like the U.S. dollar which is accepted as a means of transaction in America and not in Zimbabwe.
- Low transfer charges. Mobile money has turned out to be on the viable alternatives to transacting in hard cash in Zimbabwe. However, its premiums are as high as 40%. Since the transfer charges of bitcoins are far lower than that, cryptocurrency in Zimbabwe could be the best solution for Zimbabwe’s financial challenges.
- Ease of transfer. You can transact in bitcoins at the comfort of your house or office in minutes.
- Safety. Bitcoin transactions are usually secure hence are not easily subject to fraud.
- Not affected by inflation in a country. The previous Zimbabwean currency completely lost its value due to high inflation in the country. Since bitcoin is a global currency, its value will not be determined by Zimbabwe’s financial stability or lack thereof.
Is Bitcoin Legal in Zimbabwe?
Cryptocurrencies are a global entity that cannot be controlled by any government since they are transacted virtually. In Zimbabwe, the government has forbidden commercial banks from engaging in the trade of bitcoin and other digital currencies. However, this does not make it illegal for Zimbabweans to buy bitcoin or engage in bitcoin investment in Zimbabwe. In fact, peer-to-peer transactions have soared in the country especially due to hyperinflation. However, cryptocurrencies are not recognized as legal tender in Zimbabwe.
Is there any bitcoin ATM in Zimbabwe? Zimbabwe has one bitcoin ATM in Harare that was introduced by Golix, a cryptocurrency exchange.
How to Buy Bitcoin in Zimbabwe
One of the ways of buying cryptocurrency in Zimbabwe is through the established crypto exchange in Zimbabwe. These platforms are of three types:
- Peer to peer (P2P) exchange. An escrow system is used to link the bitcoin buyer to its seller.
- Broker over the counter (OTC) exchange. The buyer gives cash to the exchange and in return gets the equivalent number of bitcoins. This method also allows you to sell bitcoins to the exchange and get the cash in your bank account.
- Trading platform. In this structure, cryptocurrency trading in Zimbabwe is done in pairs. It could be such a combination as BTC and Ethereum or BTC and RTGS dollar.
Bitcoin Exchanges in Zimbabwe: Where to Buy Bitcoin in Zimbabwe
The existing forms of BTC interchange in Zimbabwe have certain advantages and drawbacks hence it is important to evaluate the features of an exchange before using it to buy cryptocurrency in Zimbabwe. The following are some one of the well-established bitcoin exchanges that you can use to buy or sell bitcoin in Zimbabwe.
Does Luno work in Zimbabwe?: Luno is one the leading cryptocurrency exchanges that lets you buy, sell, store and trade cryptos. Unfortunately, Luno is not available in Zimbabwe.
Paxful is one of the leading bitcoin exchanges in the world. The exchange allow users to buy cryptocurrency in Zimbabwe. Paxful has many options for you to buy bitcoin, which include Western Union, bank transfers, gift cards, debit card, and credit card. Thankfully, with Paxful, you can buy bitcoins in Zimbabwe using EcoCash.
Paxful, the world’s leading people-powered Bitcoin marketplace, is now available in Zimbabwe. Now you can use BTC to secure your wealth from hyperinflation or settle any local transactions. We understand the economic difficulties the country is facing, and that is why we’ve made it effortless for the everyday Zimbabwean to buy Bitcoin instantly and at the lowest possible price. Experience zero fees when purchasing BTC from vendors in and out of the country.
LocalBitcoins is a Finnish peer to peer exchange. LocalBitcoins allow users in Zimbabwe to buy bitcoin from other users who who advertise on the website amount of bitcoin they are selling as well as exchange rates and payment methods.
Remitano a peer to peer bitcoin marketplace. The marketplace is the product of Babylon Solutions Limited, a company registered in Seychelles. It allows Zimbabweans to buy and sell cryptocurrency safely.
Coindirect is one the easiest ways to to buy and sell bitcoin in Zimbabwe. The company was founded in 2017 in South Africa. It supports multiple payment options for buying Bitcoin in Zimbabwe.
SpectroCoin is a bitcoin interchange that comes with a bitcoin wallet and allow people in Zimbabwe to buy bitcoin. The platform supports a variety of payment options such as local bank transfer and international bank transfer. Note that other payment options such as Skrill and Neteller are not available in Zimbabwe.
Crypto shares in Zimbabwe: In November 2020, Zimbabwe Stock Exchange CEO said that its subsidiary, the Victoria Falls Stock Exchange, is open to listing cryptocurrencies subject to regulatory approval.
How to Buy Cryptocurrency in Zimbabwe
Which Bitcoin Wallet is Supported in Zimbabwe: Best Bitcoin Wallet in Zimbabwe
The first step to take before buying from bitcoin interchange Zimbabwe is to acquire a bitcoin wallet. A Bitcoin wallet for Zimbabwe acts as some sort of digital bank where you can store your Bitcoins and retrieve them when you need to make a payment or make a currency exchange. When choosing a Bitcoin wallet in Zimbabwe, whether it is offline or online, it is important to evaluate all its features including its usability and secureness. Muun, Samourai, and Exodus are some of bitcoin wallets available in Zimbabwe. Hardware bitcoin wallets supported in Zimbabwe include Trezor and Ledger.
In general, offline wallets such as Trezor are safer than the online ones. Additionally, when deciding which bitcoin wallet is best in Zimbabwe, it is helpful to choose one that is not connected to any bitcoin exchange. This is one of the ways of ensuring that you can access your cryptocurrency in Zimbabwe in the event of the exchange crushing. It is therefore advisable to go for bitcoin wallet used in Zimbabwe that is not connected to any Zimbabwe cryptocurrency exchange.
Choose a Reliable Cryptocurrency Dealer
The bitcoin exchanges listed above are the most reliable platforms for buying the cryptocurrency in Zimbabwe. While it is easy to acquire an account in any of the established exchanges, it is important to evaluate the pros and cons of the preferred crypto exchange platform. Depending on the exchange’s policies, you will require to present specific identification documents like a photo ID or your face’s real-time image.
Select the Method of Payment
Most bitcoin exchanges in Zimbabwe accept cash, bank transfer, credit or debit card, Western Union, MoneyGram, and many other options. Once you have decided the bitcoin exchange you are going to use, you will find out supported payment method.
It is important to note that different bitcoin exchanges sell the cryptocurrency at different prices. Additionally, the price of a bitcoin in general varies from time to time. However, the exchange you decide on should provide you with comprehensive details on the prevailing price of the cryptocurrency. It is also possible to place a limit order as a way of stipulating the price that you are unwilling to exceed. The subsequent transfer of the purchased bitcoins to your digital wallet will attract a minor charge.
Contract for Difference (CFD)
If you choose to use CFD to buy bitcoins in Zimbabwe, it is important to note that they usually have a high price volatility. However, it tends to be a straightforward and profitable method especially if you are buying the cryptocurrency for speculation rather than making payments. Once you have acquired a trading account, the next step is to predict if the Bitcoin price will go up or down. Subsequently, you will be in a position to make a Buy or Sell order.
What is contract for difference? In finance, a contract for difference is a contract between two parties, typically described as “buyer” and “seller”, stipulating that the buyer will pay to the seller the difference between the current value of an asset and its value at contract time
How to Sell Bitcoin in Zimbabwe
Some people buy and sell bitcoin regularly as a form of bitcoin investment in Zimbabwe. They buy when the price is low and sell when the price is higher. Regardless of the reasons for selling your bitcoin, here’s how to sell bitcoin in Zimbabwe.
Get an Account With Your Preferred Bitcoin Exchange
To simplify the process of withdrawing the funds acquired from selling the cryptocurrency, link the cryptocurrency exchange account with your bank account or mobile money account.
Sell Bitcoin in Zimbabwe
You can sell your bitcoin from the same bitcoin exchange in Zimbabwe you bought your bitcoin from. We have listed some of the bitcoin exchanges for Zimbabwe above. Once you have stated the amount of bitcoins you intend to sell, click on “Sell”. Your exchange will act as the intermediary in the sale process and will do so at the prevailing market price. Placing a “Limit” order means that you can only sell the bitcoin when its price reaches the stated mark. However, take time to learn the specifics of the exchange you are using because this is only a general guide.
Key Points to Remember About Buying and Selling Cryptocurrency in Zimbabwe
Bitcoin is a cryptocurrency. To own bitcoin, you need to have a bitcoin wallet available in Zimbabwe (we have listed them above). To buy and sell bitcoin, you need to use a bitcoin exchange such as the ones we have outlined above. There are several payment options for buying bitcoin such as cash, credit card, bank transfer, mobile money, etc. Once you buy bitcoin, you can convert your bitcoin into fiat currency at a later stage or “hodl” as a long term investment. Alternatively, you can loan out your cryptocurrency, get crypto backed loans, earn interest on crypto savings, etc, on platforms such as Hodl Hodl, CoinLoan, and YouHodler.
Final Thoughts on Where to Sell and Buy Bitcoin in Zimbabwe
Zimbabwe has been struggling to end the hyperinflation that has hit the country for years. The situation is so bad that it has introduced a new currency and banned the use of the U.S. dollar for transactions. With the current crisis, cryptocurrencies like bitcoin could just be what the country needs.