Gold-Backed Digital Tokens Prospectus - 4 May 2023 1

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ISSUE OF RBZ GOLD-BACKED DIGITAL TOKENS No.1/2023
The Reserve Bank of Zimbabwe (RBZ) hereby invites applications from Individuals, Financial
Institutions, Corporates and Other Entities to subscribe for the issuance of RBZ Gold-
Backed Digital Tokens No.1/2023.
Applications for the RBZ Gold-Backed Digital Tokens must be for a minimum of US$10 for
individuals and US$5,000 for financial institutions, corporates and other entities. Application
forms are available from RBZ, Commercial Banks, Building Societies and the People’s
Own Savings Bank (POSB).
Completed Application Forms should be submitted through Commercial Banks, Building

Societies and the POSB. The application form and prospectus for the RBZ Gold-backed digital
tokens are attached to this issuance note.
Features of the Gold-Backed Digital Tokens

Issuer: Reserve Bank of Zimbabwe
Vesting Period: 180 days
Purpose of Issue: To provide investors with a platform to save, invest and transact in gold
Offer Opens: Monday, 8 May 2023 at 0800 hours
Offer Closes: Wednesday, 10 May 2023 at 1 200 hours
Payment: Thursday, 11 May 2023
Issuance Date: Friday, 12 May 2023
Special Features
• Prescribed Asset Status & Liquid Asset Status;
• Acceptable as collateral and tradable;
• Bearer instrument;
• Settlement will be done in local or foreign currency.
For further details, contact RBZ Dealers on +263242703000;
RESERVE BANK OF ZIMBABWE
4 MAY 2023
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RBZ GOLD-BACKED DIGITAL TOKENS No.1/2023 APPLICATION FORM
…………../………2023
The Director, Financial Markets
Reserve Bank of Zimbabwe
80 Samora Machel Avenue
P.O. Box 1283, HARARE
Dear Sir
I/We hereby irrevocably apply for the RBZ Digital Gold Tokens 1/2023 as (tick below):
Individual
Corporate
Amount in USD
SETTLEMENT (Tick Below)

ZWL
USD
AMOUNT (words)…………………………………………………………………………….
(figures)……………………………………………………………………………..
Signed ……………….. at ……………. this……. day of ……………………..2023
Yours faithfully,
Full Name & Address …………………………………………………………………………....
……………………………………..………………………………………………………….......
Phone…………………………………Cell ……………………………………………….
Signature……………………………e-mail……………………………………………….
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ISSUE OF
RBZ GOLD-BACKED DIGITAL TOKENS
No. 1/2023
PROSPECTUS
PURPOSE OF ISSUE
The RBZ Gold-backed Digital Tokens are being issued to expand the value-preserving
instruments available in the economy, enhance divisibility of the investment instruments
and widen their access and usage by the public. The digital tokens will be issued for investment
purposes with a vesting period of 180 days and redeemable in the same way as the existing
physical gold coins. The digital tokens will be available for sale, through banks, in both foreign
and local currency. Banks will create dedicated or specific accounts for the holding of the gold-
backed digital tokens (e-gold wallets or e-gold cards). Holders of physical gold coins, at their
discretion, will be able to exchange or convert, through the banking system, the physical gold
coins into gold-backed digital tokens.
The digital tokens held in either e-gold wallets or e-gold cards will be tradable and capable of
facilitating Person-to-Person (P2P) and Person-to-Business (P2B) transactions and settlement.
It therefore means that the gold-backed digital tokens would be used both as a means of
payment and a store of value.
LEGAL FRAMEWORK FOR THE ISSUE

The Gold-Backed Digital Tokens (the digital tokens) are issued in accordance with the provisions
of section 7 (d) of the Reserve Bank of Zimbabwe Act [Chapter 22:15] (the Act) which
empowers the Bank “…to buy, sell, discount or re-discount—
(i) bills of exchange and promissory notes drawn or issued for commercial, industrial
or agricultural purposes;
(ii) ………; and
(iii) bills, notes and other obligations issued by itself; ……..”.
The issue is also in line with Section 47(3) of the Act that gives the Bank the discretion to buy,
sell, and hold gold and foreign exchange assets “for the purpose of maintaining the value of
the Zimbabwe dollar and for such other purposes as it considers necessary or expedient…”
PRICING
The pricing of the Digital Tokens in foreign currency shall remain the same as the pricing model
of the physical gold coins as informed or guided by the international gold price as determined
by the London Bullion Market Association (LBMA) PM fix. Payment for the digital tokens or
physical gold coins in local currency shall be at a 20% margin above the willing-buyer willing-
seller interbank mid-rate.
APPLICATIONS
Applications will be through banks, building societies and the POSB. Applications must be for a
minimum of US$10 and US$5,000 for individuals and corporates and other entities (including
financial institutions), respectively. The Reserve Bank reserves the right to accept or reject
any application or part thereof.
The full payment for allotted digital tokens shall be made on the settlement date through the
normal payment systems.
Application for this issue must be on the form provided with this prospectus and should be
addressed to the Director, Financial Markets, 80 Samora Machel Avenue, Harare and forwarded
to the following email address: [email protected].
SOURCE OF FUNDS
Investors cannot use borrowings to finance the purchase of tokenized gold coins. The Financial
Intelligence Unit shall take appropriate action in respect of any suspicious sources of funding.
Financial institutions are required to exercise Know Your Customer (KYC) principles.
ISSUANCE
The digital tokens will be issued in milligrams, which is one thousandth of a gram, through
custodian banks within the Central Securities Depository (CSD) payment system.
REGISTRATION
Transfer of the digital tokens will be done through the custodial banks which will split allotments
to its various customers’ accounts.
REDEMPTION
The digital tokens can be redeemed after the vesting period of 180 days, based on the
international gold price as determined by the London Bullion Market Association (LBMA) PM fix,
payable in either local or foreign currency as is the case with physical gold coins. Payments will
be done through the nominated custodial banks.
This Prospectus and application forms may be obtained from the Reserve Bank of Zimbabwe
website, banks or upon request via the following email: [email protected]
Reserve Bank of Zimbabwe

Harare, Zimbabwe
4 May 2023

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K OF

Completed Application Forms should be submitted through Commercial Banks, Building

Features of the Gold-Backed Digital Tokens

For further details, contact RBZ Dealers on +263242703000;

RESERVE BANK OF ZIMBABWE

SETTLEMENT (Tick Below)

Signed ……………….. at ……………. this……. day of ……………………..2023

Full Name & Address …………………………………………………………………………....

LEGAL FRAMEWORK FOR THE ISSUE

Reserve Bank of Zimbabwe

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