The Zimbabwe Stock Exchange, according to a report on 20 May by a local media outlet, The Chronicle, is planning to use blockchain technology. As per the report, the chief executive officer of the stock exchange, Justin Bgoni, is interested in applying blockchain technology in the stock exchange. Bgoni has mentioned he is willing to wait until the regulatory uncertainties regarding the technology have been resolved.
How Blockchain Can Help
According to Bgoni, the technology side of blockchain is apparent and has the potential of being implemented for cases like the Real Estate Investment Trust Securities, Mineral Commodities Exchange, or Exchange Traded Funds. The technology can be helpful in terms of preventing fraud and adding transparency. It, therefore, can be a key to expanding the exchange into a vibrant market place with various options.
While he says that the technology side of blockchain based assets are clear and highly prospective, it is not the same for the money side. The money aspect is fraught with regulatory ambiguity in the country. Kenya’s Central Depository and Settlement Corporation’s chief, Rose Mambo in an interview told that technologies like blockchains have emerged as significant disruptors and can help in financial inclusion and better investor education in the African countries. In fact, the Zimbabwe Stock Exchange itself has started an app called the C Trade, which allows people to trade on their exchange remotely.
Other exchanges like the NASDAQ of USA have listed BTC and ETH indices. Switzerland’s primary stock exchange SIX has, in the meanwhile, listed a Ripple based financial product. Given this trend, the various exchanges have started identifying the utility of listing multiple cryptocurrency assets. In this sense, these moves are not only beneficial for the respective economies and markets but the crypto sector in general.