World Bank Rejects Central African Republic’s Bitcoin Island Plan

Recently, the Central African Republic became the second country in the world to adopt Bitcoin as legal tender. Soon after, the country announced plans to build a crypto hub called “Sango” on an island, taking further inspiration from El Salvador’s example. However, the World Bank strongly opposes the nation’s strategy.

Living the Crypto Dream in Sango

Just last week, CAR’s President Faustin Archange Touadera expressed his profound love for crypto, saying “an impenetrable bureaucracy is keeping us stuck in systems that do not give [emerging economies] a chance to be competitive”.

The proposal for the Sango crypto hub presents some ambitious ideas for attracting crypto enthusiasts and investors. Benefits and incentives to get involved with Sango include e-residency passports that can be acquired through investment, tax-free zones, and zero percent charges for cryptocurrency exchanges. Crowdfunding for the infrastructure and other local projects is in the works for crypto firms looking to take up residence in the crypto hub, but they will first have to join a waiting list.

$35 Million Worth of Confusion

The official site of the Sango crypto hub states that “The Central African Republic received approval for a $35 million fund from the World Bank for the digitalization of the public sector”. However, it now seems that the World Bank wants nothing to do with the ongoing crypto project, responding to the statement with the disclaimer: ‘The World Bank is not supporting ‘Sango: The First Crypto Initiative Project’, nor any other crypto initiatives”. Allegedly, the approved money the CAR spoke of was intended to be used for the digitization of salary payments and tax collection systems.

On the Flipside

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

Author

Tadas Klimasevskis is an author & reporter, focusing on the latest tendencies of the crypto galaxy. Tadas spends his time digging deeper into specific areas like coins such as Shiba Inu (SHIB) & Dogecoin (DOGE), music NFTs, sports NFTs, digital art, and Pop culture in Web 3.0. Tadas strongly believes in crypto as disruptive innovation and keeps an eye out for new crypto hubs being developed around the globe. His vast experience in social media lets him quickly spot what’s going on in the mercurial world of crypto and deliver stories with unique spins. He has been active in blockchain and cryptocurrencies since 2019.