The Central African Republic is tokenizing natural resources to foster investment and business growth, despite earlier challenges with cryptocurrency.

The Central African Republic (CAR) has initiated the process of tokenizing its natural resources, a major step towards embracing cryptocurrency. Even though Bitcoin has lost its status as legal tender within the country, the CAR’s commitment to digital currency remains strong.

The Sango project team, responsible for the nation’s indigenous digital currency, Sango Coin, announced this initiative earlier in the week. The aim is to create a new financial era empowered by blockchain technology. CAR’s legislative body has now authorized the tokenization of land and natural resources, aligning itself as a promising business hub in Africa.

The Sango Project: A Leap Towards Innovation

The law facilitates the ease of online business license and electronic visa applications for both local and international firms. Once the licenses are in place, companies can effortlessly function on the Sango platform, taking advantage of the power of blockchain technology.

The Sango project, launched last year with a focus on resource tokenization, seeks to foster investment in CAR through Sango Coin. This state-issued token, supported by Bitcoin on a separate sidechain network, doesn’t qualify as a Central Bank Digital Currency (CBDC).

However, two months after the token’s ICO began, the CAR’s Constitutional Court deemed purchasing land and citizenship with the token unconstitutional. The domestic reception of the ICO was less than stellar, selling less than 8 million of the 200 million Sango Coin offered for sale at $0.10 during its initial phase.

Shifts in Crypto Legislation and Leadership’s Commitment

In April 2022, CAR gained attention as the second country after El Salvador to recognize Bitcoin as legal tender, only to reverse the law roughly a year later. However, President Faustin-Archange continues to champion cryptocurrency, with his dedication to the new law mirroring that of El Salvador’s President Nayib Bukele.

The determination of these leaders to pursue Bitcoin initiatives, in spite of criticism, has led to the launch of Bitcoin education and mining programs in El Salvador. Furthermore, CAR’s new direction with Sango highlights the potential of crypto in shaping the financial landscape of a nation and underscores the government’s continuous commitment to embrace innovation and technological advancements.

The post Central African Republic To Tokenize Its Natural Resources appeared first on Crypto Academy.

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Filed under: Bitcoin - @ August 24, 2023 2:14 pm