Bitcoin’s First African Adopter Faces Backlash From Central Bank

A regional central bank is clamping down on Bitcoin transactions after the Central African Republic adopted the cryptocurrency as legal tender without consulting its monetary authority.

The Bank of Central African States, which already doesn’t recognize cryptocurrencies, is now preventing all lenders from partnering with payment platforms that transact in digital currencies or from recognizing them as an asset.

Lenders must also monitor any indirect attempt by their customers to make cryptocurrency transactions so authorities can take action, according to a May 6 note to banks sent to journalists on Friday.

“It is necessary to take preventive measures to ensure ...