The legal vagueness that reigns around the Central African “national” cryptocurrency did not allow it to succeed in its first listing. Organized Monday, July 25 at 5 p.m. GMT, the listing of Sangocoin was coldly received by investors wary of a state cryptocurrency and largely warned by the misadventures of the unfortunate Salvador, a state that has lost billions of dollars of its reserves placed recklessly into bitcoin. Thus, of the 210 million Sango coins placed on the market for 30
Days price of $0.10 expected to move up to $0.37, only 6% had been sold by 11:15 GMT on Tuesday. Within 24 hours, transactions peaked at $1 million on a bid of $21 million. Far from the objective of the authorities to raise 1 billion dollars in one year.
Between July 29 and July 30, no transactions are recorded. At this rate, the planned distribution of 4.2 billion Sango coins will have to be delayed so as not to plunge the young currency into the abyss. The cruel law of supply and demand has delivered an implacable sentence.
The Central African officials who were preparing to pop the champagne had nevertheless deployed the great means to convince. Investing in the token opened up access to the country’s mines (tokenization of resources) and to land ownership in the country in a future district of Bangui dedicated to cryptos and parallel universes (Metavers).
Additionally, Sango coin holders will be able to acquire e-residence and citizenship of the countryif they locked up $60,000 worth of Sango coins for 5 years. Beyond 5 years, the tokens will be returned to them.
The President of the CAR Faustin-Archange Touadéra would demand explanations from all those who dangled digital gold for him.
Usually, ICOs (initial coin offerings) start with a bang with oversubscriptions followed by spectacular increases. But in the Central African case, things turn out like a mountaineer climbing Mount Everest. Bangui is said to have chosen the wrong timing, inaugurating its currency in one of the harshest winters in cryptos. In addition, the Central African Republic is facing growing pressure from the Bank of Central African States (BEAC) which pushed it to abandon the first version of the national currency Sangocoin for a less ambitious project of currency or investment product in at least a unit of account brought into line by the (future) UMAC regulations relating to crypto assets. Central Africans, of whom only 14% have access to electricity and 11% to the Internet, certainly have other priorities.