Now is the time to understand bitcoin, the CAR's president says
The Central Republic of Africa adopted bitcoin as an official currency in April, and now plans to tokenize its natural resources.
Faustin-Archange Touadéra, president of the Central Republic of Africa (CAR), has encouraged people to seek an understanding of bitcoin and "its disruptive power to bring long-term prosperity." This comes weeks after the CAR adopted bitcoin as an official currency — the first African country to do so.
What was said?
- On June 14, Touadéra tweeted: "Understanding Bitcoin is crucial to [acknowledging] its disruptive power to bring long-term prosperity. Mathematics doesn't account for human emotions. Future generations will look behind at these very moments to our strength & unity in choosing the right path during hard times."
- On June 16, Touadéra sent a follow-up tweet, written in French (Google translated), saying: "We must learn from the past in order to build a better future. It is our duty to act in the interest of all our citizens, especially toward future generations. It is a sacred mission to move firmly on the path of modernity, to open the way for our children."
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Why this matters
- Touadéra's message follows a multi-day slide in bitcoin prices.
- It's worth noting that the CAR president is himself a professor of mathematics.
- Math is a fundamental part of how bitcoin is generated and secured.
- On April 27, the CAR announced that it had adopted bitcoin as a legal tender.
- On May 24, the Touadéra-led CAR government launched its official crypto hub dubbed "Sango."
- Through Sango, the CAR intends to tokenize access to its rich mineral resources for global investors, an official document shows.
- The country estimates that it has $285 billion worth of diamond reserves and $60 billion worth of gold reserves.
- The CAR generated an estimated $2.4 billion in GDP
- Experts believe that the central African country's interest in bitcoin has more to do with geopolitics than economics as the country seeks to free itself from French dominance.
- African governments are beginning to warm up to digital assets and their potential economic benefits.
- Three other central African nations — Cameroon, the Democratic Republic of Congo (DRC) and the Republic of Congo (Congo-Brazzaville) — are working with The Open Network (TON), a layer-1 blockchain, to launch regionalized stablecoins.