The Global Heroes


8th May 2023 By The Global Heroes Innovation and Business

This Monday, the Central Bank of Zimbabwe issued a digital token that is backed by gold as legal cash.

The goal is to safeguard people from currency swings and aid in stabilizing the value of the Zimbabwean dollar.

A sort of digital currency backed by Zimbabwe's gold reserves, which are kept by the Central Bank, will be the gold-backed digital tokens. 

Holders of Zimbabwean dollars will be able to swap them for tokens backed by gold, which will provide security against the local currency's volatility.

The Zimbabwean dollar's value has substantially decreased over the last year; it is currently almost 1,000 Zimbabwean dollars to one US dollar, compared to 150 Zimbabwean dollars a year ago. 

Currently, Zimbabwe uses both the US currency and the Zimbabwean dollar to do business.

For more than ten years, double, even triple digit inflation has engulfed Zimbabwe. 

By 2030, Zimbabwe's president Emmerson Mnangagwa claimed, the nation will have a middle-income economy. He hasn't been able to revive local currency trust though since becoming government.

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