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The Central African Republic to Open an Island to Attract Crypto Talent

Faustin-Archange Touadera, the president of the Central African Republic, has announced that the country will soon set-up an island-based crypto hub to encourage innovation, and bring more crypto and IT talent to the African continent.

The news comes exactly one month after the Central African Republic became the second country in the world to adopt Bitcoin (BTC) as legal tender. “The formal economy is no longer an option” the President of CAR asserted in his Monday statement.

A Crypto Island Called Sango

The island of Sango already has a website through which those interested in the new crypto hub can join a waitlist. According to Sango Island’s official leaflet, there will be a lot of innovative perks for investors, including:

  • An e-residency program that offers citizenship of the Central African Republic via investment;
  • 0% income and corporate tax on the island;
  • No fees on cryptocurrency exchanges;
  • The tokenization of assets and resources;
  • Crowdfunding for infrastructure and other projects.

In addition to these benefits, president Touadera also claimed that a Sango metaverse is in the works. Ultimately, a complete legal framework for the island is expected to be finalized by the end of the year.

Developing Countries Striving for Innovation

It is worth mentioning that the Central African Republic has received a lot of inspiration from countries like Malta and Portugal, where the environment for crypto has been very welcoming. However, it will not be easy to achieve stability, as El Salvador has demonstrated by example. The International Monetary Fund (IMF) is a staunch critic of the attempts by El Salvador and other impoverished countries to be at the forefront of innovation.

On a positive note, on May 5th, 2022, the impoverished African country gained approval from the World Bank for a $35 million development fund for the digitization of the public sector.

This signals an improvement in the approach of the global market, as international organizations are starting giving crypto the green light in developing countries. The measures are also appealing to the citizens of such nations who live in poverty, as they have much to gain from the infrastructure and systems being implemented correctly.

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed to be financial legal or tax advice. Trading Forex, cryptocurrencies, and CFDs poses a considerable risk of loss

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Author

Tadas Klimasevskis is a blockchain journalist and content creator, focusing on the latest tendencies of the crypto world and digging deeper into specific innovations like music NFTs, gaming NFTs and Metaverse. Vast experience in social media lets Tadas quickly spot what’s going on in the crypto industry and deliver a story with a unique spin.