Faustin-Archange Touadera, the president of the Central African Republic, stated on Sunday that the expense of creating bank accounts is why cryptocurrency is the answer to addressing financial exclusion in the country.

After becoming the first African nation to recognize bitcoin as legal tender in April, Touadera declared during a launch ceremony for the cryptocurrency effort Sango that “the cash alternative is cryptocurrency.” The formal economy is no longer a viable alternative for us.

The decision to accept cryptocurrencies in a nation with poor internet penetration and unstable electrical supply has alarmed cryptocurrency specialists, perplexed policymakers and locals, and prompted the International Monetary Fund to issue a warning.
In unstable regions where people are looking for alternatives to traditional banking, such as Palestine, Afghanistan, and Ukraine, digital currencies are prospering. Digital currencies have emerged as a means for people to get around obstacles like currency devaluation, sanctions, and some other economic issues that are frequently present in unstable countries.

Cryptocurrency has also evolved towards a more appropriate mechanism of transferring funds in Afghanistan, where economy is in disarray and the majority of people don’t have bank accounts. There, businesses like the nonprofit Digital Citizen Fund, which teaches computer fundamentals to women and girls, even pay their employees in bitcoin.

This organisation and others are lobbying for more aggressive cryptography instruction so that Afghans can continue to have access.

The National Assembly of the Central African Republic supported and led the Sango initiative, including a “Sango Coin”.

What is cryptocurrency?
Cryptocurrency is an alternative to cash. It’s a way to transfer funds from one person to another without needing a bank. Cryptocurrencies like Bitcoin are made possible by blockchain technology — a peer-to-peer (P2P) distributed ledger that protects users from fraud and reduces transaction costs on all transactions made in it.