President of the Central African Republic, Faustin-Archange Touadéra, has said that his country’s budding crypto centre will start on July 3. Based on blockchain technology, the “Sango” project aims to make CAR the most “progressive” economy in Africa.
The Genesis of Sango
President Toudéra tweeted on Monday that he was dedicated to establishing Bitcoin as legal tender. With Bitcoin as legal currency and inspiration, the nation will enter a new chapter on its unique path towards a better future via blockchain technology.
With #Bitcoin as #legaltender & inspiration, our country opens a new chapter in its inspiring journey towards a brighter future via #blockchain #tech.
Everyone is welcome to witness the Sango Genesis Event that will be broadcast on the 3rd of July, on https://t.co/LIQiKGhcBS. pic.twitter.com/7u6knv5f6w— Faustin-Archange Touadéra (@FA_Touadera) June 27, 2022
The world was taken aback in April when the President of the Central African Republic signed a crypto legal framework into law, which also made Bitcoin an official currency. This meant that the government would regard Bitcoin similarly to the historic CFA franc, free from capital gains tax and usable to pay other taxes.
A month later, the President launched the Sango project to transform CAR into a crypto centre that draws investors from all over the globe. Among its subsidiary initiatives will be establishing a national crypto bank, creating a state-sponsored lightning wallet, and eliminating taxes on crypto exchanges.
Related articles: The Central African Republic Aims To Accelerate Bitcoin Adoption
According to today’s press release, the project would encompass the “tokenisation” of the nation’s natural resources. The Sango Genesis Event, which the President termed the most “revolutionary” conference in the history of “blockchain technology” and “Web 3,” will divulge further information on July 3 at 7:00 PM CET.
Mimicking El Salvador
The introduction of Bitcoin in CAR seems to follow El Salvador’s footsteps closely. In September, the Central American nation also recognised Bitcoin as legal tender, besides its “Chivo” state-sponsored wallet.
Moreover, El Salvador’s intentions to construct “Bitcoin City” are similar to CAR’s “crypto island” concept — an ambitious goal to develop a unique investment site devoted to crypto technology.
Likewise, the worldwide reaction to their activities has been the same, which is not always positive. Like El Salvador, the International Monetary Fund (IMF) has opposed the legal tender decision, citing “legal, transparency, and economic policy” issues.
When adopting Bitcoin, CAR’s officials circumvented its regional Central Bank and the World Bank. The latter acknowledged that it would not participate in the Sango initiative but did provide a $35 million loan to “digitise” the public sector of CAR.