97

Cryptocurrency Regulatory Framework in Zimbabwe

a significance value of 0.121, which is above 0.05 (threshold). The results indicate

that there was no difference in opinions across the groups concerning use of crypto­

currency for the next 12 months. The mean values of these groups were statistically

insignificant. The analysis is based on the Chi-squared approach, and it assumes that

the data is not normally distributed.

6.4.5  Factors Influencing Cryptocurrency Usage Selection

The other statistical approach used for a list of variables is data reduction through

the application of principal component analysis. This is a technique mainly used

for removal of correlated variables in a data set. The uncorrelated data set is then

represented by a list of components, which form the basis for further analysis if

need be. The values of the components should be at least 0.5 for the variables. The

variable with the highest value is then represented in a component. Table 6.7 gives

a summary of the variables that might need further analysis. These are factors that

reflect the usage of cryptocurrency in the country and how the authorities may keep

watch on this, especially for a regulatory framework. The regulatory framework may

be aligned in such a manner as to support and educate the public on these factors to

increase adoption.

So, based on the few selected variables that push for extensive usage of cryptocur­

rency, the respondents indicated that trading in such currency has a lot of benefits.

The factors include investment opportunities, with a factor analysis value (0.625)

above 50% and worth looking out for. The other factors are generation of club money

and international transactions, especially importing of second-hand vehicles directly

from Japan. Other issues for further interrogation are lower transaction costs, speed

and convenience in transaction, online payment for jobs overseas and most impor­

tantly, cross-border remittances. The last factor, high security features (0.704),

implies that scrutiny is needed on how secure these transactions are, as is alluded to

by technocrats in cryptography.

TABLE 6.6

How Many Times Do You Expect to Use Cryptocurrencies for Cross-

border Remittances (Sending or Receiving) in the Succeeding 12 Months?

Occurrence

Percentage

Effective percentage

Cumulative percentage

Nil

40

28.6

28.6

28.6

Once

11

7.8

7.8

36.4

2–5 times

42

30

30

66.4

More than 6

times

47

33.6

33.6

100.0

Total

140

98.4

100.0

Source: Primary data.