Incredible. As it turns out, the Central African Republic is the second country in the world to adopt bitcoin as legal tender. An official press release from the presidentโs chief of staff, Obed Namsio, confirms the news. The document surfaced on the countryโs Facebook page, and, among other things, says that the bill was approved by a unanimous decision. โBitcoin adoption as legal tender represents an important step towards openness and new oportunitties for our country.โ
๐จ Official press release from the Central African Republic states Bitcoin is a official currency (original document and a google translated version below) @BTC_Archive @DocumentingBTC @APompliano @gladstein @LordFusitua @Dennis_Porter_ @BitcoinMagazine pic.twitter.com/U5vqdz4oB5
โ Oliver Koblรญลพek โก (@Stromens) April 27, 2022
Apparently, the bill was signed into law yesterday, April 27th. The text of the actual law is not available yet. The press release also says that the Central African Republic โis the first country in Africa to adopt bitcoin as legal tender,โ and the move put it โon the map of the worldโs boldest and most visionary countries.โ Later on, it says that the move โrepresents the fact of accepting cryptocurrencies as a mean of paymentโ and that the CAR will โadopt the law project concerning cryptocurrency adoption.โ
In: ๐ธ๐ป๐จ๐ซ
To go: ๐ฆ๐ซ๐ฆ๐ฝ๐ฆ๐ฑ๐ฉ๐ฟ๐ฆ๐ธ๐ฆ๐ฉ๐ฆ๐ด๐ฆ๐ฎ๐ฆ๐ถ๐ฆ๐ฌ๐ฆ๐ท๐ฆ๐ฒ๐ฆ๐ผ๐ฆ๐บ๐ฆ๐น๐ฆ๐ฟ๐ง๐ธ๐ง๐ญ๐ง๐ฉ๐ง๐ง๐ง๐พ๐ง๐ช๐ง๐ฟ๐ง๐ฏ๐ง๐ฒ๐ง๐น๐ง๐ด๐ง๐ฆ๐ง๐ผ๐ง๐ป๐ง๐ท๐ฎ๐ด๐ง๐ณ๐ง๐ฌ๐ง๐ซ๐ง๐ฎ๐ฐ๐ญ๐จ๐ฒ๐จ๐ฆ๐จ๐ป๐ง๐ถ๐ฐ๐พ๐น๐ฉ๐จ๐ฑ๐จ๐ณ๐จ๐ฝ๐จ๐จ๐จ๐ด๐ฐ๐ฒ๐จ๐ฌ๐จ๐ฉ๐จ๐ฐ๐จ๐ท๐จ๐ฎ๐ญ๐ท๐จ๐บ๐จ๐ผ๐จ๐พ๐จ๐ฟ๐ฉ๐ฐ๐ฉ๐ฏ๐ฉ๐ฒ๐ฉ๐ด๐ช๐จ๐ช๐ฌ๐ด๓ ง๓ ข๓ ฅ๓ ฎ๓ ง๓ ฟ๐ฌ๐ถ๐ช๐ท๐ช๐ช๐ธ๐ฟ๐ช๐น๐ซ๐ฐ๐ซ๐ด๐ซ๐ฏ๐ซ๐ฎ๐ซ๐ท๐ฌ๐ซ๐ต๐ซ๐น๐ซ๐ฌ๐ฆ๐ฌ๐ฒ๐ฌ๐ช๐ฉ๐ช๐ฌ๐ญ๐ฌ๐ฎ๐ฌ๐ท๐ฌ๐ฑ๐ฌ๐ฉ๐ฌ๐ต๐ฌ๐บ๐ฌ๐น๐ฌ๐ฌ๐ฌ๐ณ๐ฌ๐ผ๐ฌ๐พ๐ญ๐น๐ญ๐ฒ๐ญ๐ณ๐ญ๐ฐ๐ญ๐บ๐ฎ๐ธ๐ฎ๐ณ๐ฎ๐ฉ๐ฎ๐ท๐ฎ๐ถ๐ฎ๐ช๐ฎ๐ฒ๐ฎ๐ฑ๐ฎ๐น๐ฏ๐ฒ๐ฏ๐ต๐ฏ๐ช๐ฏ๐ด๐ฐ๐ฟ๐ฐ๐ช๐ฐ๐ฎ๐ฐ๐ต๐ฐ๐ท๐ฝ๐ฐ๐ฐ๐ผ๐ฐ๐ฌ๐ฑ๐ฆ๐ฑ๐ป๐ฑ๐ง๐ฑ๐ธ๐ฑ๐ท๐ฑ๐พ๐ฑ๐ฎ๐ฑ๐น
โ Nicolas Burtey ๐ธ๐ปโก๏ธ (@nicolasburtey) April 27, 2022
So, multiple cryptocurrencies are in play. Something that could turn out to be disastrous. Especially considering the steep fines and jail time that the law is supposed to entertain. In Bitcoinistโs first report on the matter, we quoted a still unconfirmed article of the law that supposedly says:
โAny economic agent is required to accept cryptocurrencies as a form of payment when offered for the purchase or sale of a good or service. And all offenders to the provisions of this law will be possible a prison sentence of 20 years, together with a fine of between 100,000,000 to 1,000,000,000 CFA francs.โ
Related Reading | Why This Executive Predicted Bitcoin Will Be Legal Tender In 5 Countries By 2022
Letโs explore what mainstream media uncovered about the Central African Republicโs bitcoin adoption.
The President Speaks Up
The most important thing that happened today regarding this story is that President Faustin-Archange Touadรฉra tweeted โMathematics is the language of the Universe. Bitcoin is universal money.โ That phrase alone is evidence that the man is thinking about bitcoin in the right way. Also notice that, according to Samson Mow, the Central African Republicโs President โholds two PhDs in Mathematics,โ so this is high praise for bitcoin on his part.ย
Mathematics is the #language of the Universe.#Bitcoin is universal money.
โ Faustin-Archange Touadรฉra (@FA_Touadera) April 27, 2022
President Faustin-Archange Touadรฉra also tweeted the following video, with the comment, โThe fact that all of you have turned your attention toward us, encouraging & motivating us, but at the same time obliges us to continue our mission.โ
The fact that all of you have turned your attention toward us, encouraging & motivating us, but at the same time obliges us to continue our mission. Merci beaucoup! #RCA #bitcoin #legaltender #BTC 2/2
โ Faustin-Archange Touadรฉra (@FA_Touadera) April 27, 2022
Notice that the Presidentโs Twitter account only has around 3K followers. How many will he have in the following months, considering what he did for his people?
BTC price chart for 04/28/2022 on Gemini | Source: BTC/USD on TradingView.com
Is There More To The Central African Republicโs Story?
So far, mainstream media has treated the story in their usual condescending way. As with most of their bitcoin articles, they try to frame the El Salvador case as a failure and as a huge risk, and they push all of their usual FUD topics to try to make people fear bitcoin. Besides that, their investigative teams havenโt uncovered much, but at least they provide some juicy quotes from real citizens of the Central African Republic.
The only one that uncovered new insights about the actual law is Euronews, they say:
โThe new legislation covers the use of cryptocurrencies and those who use them, in online trade, โsmart contractsโฆ by blockchain technologyโ and โall electronic transactionsโ. It also said cryptocurrency exchanges are not liable to tax.โ
They also quote Martin Ziguele, โa former CAR prime minister who is now an opposition MP,โ who, besides complaining that โthe bill was approved โby proclamation,โ says:
โThis law is a way of getting out of the CFA franc through a means that guts the common currency. It isnโt a priority for the country. This move raises the question: who benefits from it?โ
The people of the Central African Republic benefit and fixing the money is the highest priority for any country. Next question.ย
Besides them, Yahoo! News doesnโt provide much information but uncovers a curious fact. Bitcoin will be โlegal tender alongside the CFA franc.โ So, Franceโs monetary colonialism prevails. For their part, Reuters just provides a dry Obed Namsio quote, โThe president supports this bill because it will improve the conditions of Central African citizens.โ
The BBC, though, has an interesting take on the subject.
What Does The BBC Think Is Happening In The Central African Republic?
According to the British news agency, โafter President Faustin-Archange Touadรฉra came to office in 2016, the country started shifting its strategic alliance from France towards Russia.โ Their article is incredibly propagandistic, but at least it has an angle. โSome see the adoption of Bitcoin as an attempt to undermine the CFA, amid a contest for influence over the resource-rich country between Russia and France.โ
The Central African Franc is used by several countries in Central Africa. Now that the Central African Republic ๐จ๐ซ has made #Bitcoin legal tender, will they follow?
Countries that use CAF:
๐จ๐ฒ Cameroon
๐น๐ฉย Chad
๐ฌ๐ถย Equatorial Guinea
๐ฌ๐ฆ Gabon
๐จ๐ฌย Republic of the Congo
๐จ๐ซ C.A.R.โ Derek Ross โก (@derekmross) April 27, 2022
Could Russia be involved in the decision? To make the case, the BBC quotes French analyst Thierry Vircoulon, โThe context, given the systemic corruption and a Russian partner facing international sanctions, does encourage suspicion.โ To provide a counterpoint, the quote Economist Yann Daworo, โBusinessmen will no longer have to walk around with suitcases of CFA francs that will have to be converted into dollars or any other currency to make purchases abroad.โ
Related Reading | India Will Never Accept Cryptocurrency As Legal Tender, Says Finance Secretary
The most interesting BBC quote, nevertheless, comes from โcomputer scientist Sydney Tickaya said he thought the adoption of the cryptocurrency was โprematureโ and โirresponsible.โ He seems to agree with Martin Ziguele in the idea that bitcoin adoption isnโt a priority for the Central African Republic:ย
โInternet access is still underdeveloped in the country while Bitcoin depends entirely on the internet,โ he said, adding that the CAR had more pressing issues such as security, education and access to drinking water.โ
That leads us to Resistance.moneyโs Craig Warmke theory, who thinks, โSmart for a country to make bitcoin legal tender when only 11% of its population has access to the internet. Looks to me, in part, like a low-cost bet that bitcoiners globally will help increase internet access, which would be a huge boon to the economy.โ
If the bet works, then it will have looked like bitcoin itself drastically improved the country’s economy, making similar decisions in the future more likely.
So bitcoiners do have a lot to gain here.
โ Craig Warmke (@craigwarmke) April 27, 2022
Is Warmke overthinking it or is he on to something? Weโll probably find out in the following months. The Central African Republicโs bitcoin story is just beginning.
Featured Image by GDJ on Pixabay | Charts by TradingView
Author: Eduardo Prรณspero ::: Source link