Central African Republic Rolls Out Its Own “Sango” Coin
- The Central African Republic became the second nation after El Salvador to make bitcoin legal tender.
The Central African Republic is one of the most developing crypto-friendly countries in the world, and the nation took its love for digital assets a notch higher after it announced the launch of its own “Sango” coin during a live broadcast.
The country’s president, Faustin-Archange Touadéra said during the broadcast that the Sango coin will be the national cryptocurrency of the Central African Republic. The virtual event, which was known as the“Sango Genesis Event,” saw the country’s leader explain in detail his plans for the digital currency and Bitcoin.
During his address, the President noted that the new Sango Coin will play a huge role in the African country’s future and will be the next-generation currency for the Central African Republic. Sango Coin will also serve as the portal to the natural resources of the Central African Republic, as per President Touadéra. The government of CAR previously declared ambitions to tokenize the nation’s natural resources, including oil, copper, and diamonds.
The landlocked nation further intends to employ Sango Coin to establish a cryptocurrency-based economy supported by individual investment. The Central African Republic said it plans to prioritize the development of a “crypto island” on the Oubangui River, which would trigger more development.
The nation’s finance minister, Hervé Ndoba, was a notable figure during the virtual broadcast, and during his speech, he revealed that the new Sango coin will be backed by bitcoin. Despite the excitement that this news created, the precise makeup of Sango Coin’s bitcoin backing remains unknown.
The Central African Republic has come a long way in its journey with digital assets. In April, the African nation became the first on the continent to accept bitcoin as legal tender. The country’s leadership has other plans to ensure that digital currencies become the driving force of its economy.
In addition to launching Sango Coin, the Touadéra administration claims it wants to overhaul the nation’s digital infrastructure by implementing blockchain technology. The country plans to utilize blockchain technology to digitize its land register system. This will be a revolutionary step for the country as it edges closer to improving the standard of living of its citizens.
Furthermore, the CAR’s government wants to fully implement cryptocurrency regulations by the end of the year. The Central African Republic has so far led the way in Africa in terms of the development of cryptocurrencies there.
The Central African Republic Plans to Move on Despite Opposition
While the decision to be more involved in digital assets than any other African nation has been hailed as a brilliant move, it has not been smooth sailing altogether. The Touadéra administration has faced stiff opposition and criticism both locally and internationally for its decision to grant bitcoin legal status.
The Bank of Central African States was one of the organizations that voiced concerns against the move to grant Bitcoin legal tender status. The BEAC regulates the Central African CFA franc, which is used by affiliated nations in that part of Africa. The financial regulator issued a press release in which it stated that the adoption was undesirable since it violated the regional financial laws.
In addition, BEAC predicted that such acceptance would make Bitcoin a competitor to the CFA franc. The organization then added that the legal recognition will prevent the Central African Central Bank from serving as the nation’s watchdog.
The move was also condemned by global bodies such as the International Monetary Fund (IMF) noting that appropriate authorities were not sufficiently acknowledged. The IMF claims that the Central African Economic and Monetary Community, a regional economic organization, was not consulted by the government of the CAR.
Rather than back down on his ambition, President Touadéra is unfazed by these comments. The country’s leader said he is heavily focused on seeing digital assets drive the growth of his nation’s economy.