The Central African Republic (CAR) has announced a delay in the exchange listing for Sango Coin, its national digital currency.
Exciting update on #SangoProject:
-Progress in gov't discussions for #SANGO products regulations
-Listing delayed for a few weeks for regulatory compliance & secure launch
-New laws may create a better business environment in #CAR
— Sango (@sangoproject) April 1, 2023
CAR launched Sango in July 2022 with hopes of creating a global digital asset destination. However, the token received underwhelming reception from investors, while the country’s Constitutional Court threw out the promise of purchasing CAR citizenship through Sango coins.
The latest blow is a delay in the listing of Sango on digital currency exchanges, a promise that President Faustin-Archange Touadéra made while launching the token.
In an announcement on its Telegram group, the team behind the token notified investors that the delay was to give ample time to legislators to create a conducive legal environment for Sango’s listing. These legislators are at advanced stages of formulating new laws, and the token will be listed in the coming weeks, the team added.
“There are also some other new surprises that will come along with these laws. Rest assured that this delay is necessary to ensure that Sango is fully compliant with all relevant regulations and that our products are launched in the most secure and responsible manner possible,” the team stated.
Just a month ago, Sango was hit with deposit issues.
Despite all the challenges, President Touadéra is still pushing for the adoption of Sango. In January, he created a task force and charged it with integrating the token into the economy. The 15-member committee is composed of experts from the ministries of mining, geology and town planning.
While they adopted vastly different approaches to a digital currency, CAR and Nigeria have faced the same challenge—the lack of adoption. Nigeria has its eNaira, a CBDC that the central bank has struggled to push to the people. CAR, on the other hand, is pushing both Sango and BTC, to which it gave legal tender status last year.
Internet penetration is a big factor in the low adoption. While Nigeria is further ahead with 55% penetration—compared to less than a quarter of the population for CAR—they both struggle to avail their digital currencies to the unbanked, marginalized low-income earners.
Nigeria is working on its adoption challenge. It recently began rebuilding its eNaira to fit the country’s payment needs and launched a USSD code for those without smartphones. Meanwhile, President Touadéra is still pushing Sango to big investors at a time when the utility of a digital token is paramount to investors.
Watch: Blockchain in Africa
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