President of CAR sets start date for cryptocurrency hub “Sango”
On June 27, Central African Republic President Faustin-Archange Touadéra announced the opening date for the nation’s cryptocurrency centre, “Sango.” On July 3, a conference will be held to celebrate the establishment of the cryptocurrency hub. The nation adopted Bitcoin as legal money last year, making it the second nation in the world and the first in Africa. The President has persisted in expressing support for Bitcoin despite the significant sell-offs that have recently been observed.
In a formal statement that was released accompanied the tweet, the President said that Sango will pave the way for the tokenization of the country’s resources and strengthen the economy. According to the material on the project website, investors would be able to finance mining projects and invest in the nation’s resources. Mining companies may potentially issue digital tokens backed by assets like gold or other minerals to raise money and finance their activities. Along with the project’s launch, a national agency for the regulation of electronic transactions and a national digital bank will be created. Additionally, the government wants to provide bitcoin transaction tax breaks. A user, however, criticized the project’s website and said that it contained inaccurate information about bitcoin.
Despite having abundant mineral resources and a small population, the Central African Republic (CAR) is among the world’s poorest nations. Lack of infrastructure, limited growth, and shoddy institutions are the key contributors to this poverty. The lengthy civil war reduced foreign interest in the nation’s natural resources. GDP reached its highest point of $ 2.5 billion in 2012 before falling to $ 2.3 billion in just one year. The democratisation and tokenization of resources are the next steps, according to a tweet from the OAR president on June 2. All indications point to the government’s utilization of these facilities to highlight the nation’s natural resources.
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