The Central African Republic (CAR) has launched its new government-backed Sango crypto hub initiative to foster the development of the local digital asset sector.
President Faustin-Archange Touadéra launched Sango Coin in a virtual event broadcast dubbed the “Sango Genesis Event,” on Sunday.
The Sango project follows the CAR’s adoption of Bitcoin (BTC) as legal tender in April. The initiative aims to attract businesses and global crypto talent/enthusiasts, ramp up local BTC adoption and oversee the rollout of crypto regulatory frameworks and infrastructure. A metaverse platform dubbed The Crypto Island and Sango Coin is also in the works.
“Sango Coin will be the next-generation currency for [the] Central African Republic,” President Touadéra stated in his address.
The president insists that Sango Coin will act as the “gateway to the natural resources of the Central African Republic.” CAR’s government previously announced plans to tokenize the country’s natural resources, including petroleum, diamonds, and copper.
Experts say the launch of the new coin is confusing, If Sango Coin will be the next-generation currency for the Central African Republic, why would they need bitcoin which is already legal tender? To add to the confusion, Sango Coin will be backed by bitcoin.
The President emphasized financial inclusion and the importance of citizens being able to gain access to crypto via a smartphone easily. He drew comparisons with the underutilized banking sector in CAR, which has several barriers to entry.
“The citizens will gain at every level, they will live in a country in full economic development, which means employment and prosperity. Moreover, they will benefit from virtual transactions which, in contrast to traditional banking, have the advantage of rapid access, fast execution, lack of bureaucracy, and low cost.”
Apart from introducing Sango Coin, the Touadéra administration says it wants to adopt blockchain technology to revamp the country’s digital architecture. The CAR government plans to use blockchain to digitize its land registry system.
