Faustin-Archange President Touadera said cryptocurrencies are the solution to financial exclusion in the Central African Republic on Sunday, citing the cost of opening a bank account.
“The alternative to cash is cryptocurrency,” Touadera said at the launch event of the country’s Sango cryptocurrency initiative, after the country became the first African country to do so. Bitcoin legal tender in April. “For us, the formal economy is no longer an option.”
The move to adopt cryptocurrency in a country where internet usage is low and electricity is unreliable has confused crypto experts, lawmakers and residents, and draws a warning from the Foundation. International Currency.
The Sango project, including the “Sango Coin”, is backed by the National Assembly of the Central African Republic and led by Touadera, who said the token would provide access to the country’s “mountains” of natural resources. , including gold and diamonds.
The country’s website “Sango” says that it will “facilitate the tokenization of the resources of the Central African Republic for investors around the world”.
“Sango Coin will be the new generation currency of the Central African Republic,” Touadera said without providing specifics.
According to Refinitiv data, Central African Republic’s enthusiasm for cryptocurrencies does not appear to have been dampened by recent losses in their value, with the bitcoin price dropping more than 58% over the past three months.
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