https://www.coindesk.com/policy/2023/04/24/zimbabwe-to-introduce-gold-backed-digital-currency-report/Zimbabwe to Introduce Gold-Backed Digital Currency: Report
The country's central bank wants people to be able to exchange Zimbabwe dollars for the gold-backed token so that they can hedge against the currency's volatility.
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Zimbabwe is not far from the Central African Republic and they want to revive the gold standard, only gold will be paper or tokenized. What will the price of gold be in Zimbabwe after that?
Probably better to use Bitcoin because the central bank token is not trustworthy.
Except Zimbabwe's economy is fixed, Bitcoin or gold will have little or no impact. The country is battling corruption, low agricultural productivity, and a shortage of power mainly triggered by the land reforms of Robert Mugabe. Using bitcoin or gold as a hedge against inflation will only favor the rich that has saving but the poor that are focused on survival will suffer the effect of inflation. I will not also advise any investor to consider the gold-backed token because it can be prone to corruption and manipulation which could lead to its collapse. However, if well managed it will help in reducing the overdependence of dollars as a legal tender and store of value in the South African country.
