Bitcoin is the first successful internet money based on peer-to-peer technology; whereby no central bank or authority is involved in the transaction and production of the Bitcoin currency. It was created by an anonymous individual/group under the name, Satoshi Nakamoto. The source code is available publicly as an open source project, anybody can look at it and be part of the developmental process.
While the World Bank would be funding the state’s digitization process, the entity clarified that it does not endorse or promote the adoption plans. Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. and crypto that take place in the Central American Republic, inviting the main financial bodies to take action on the matter.
- World Bank rejects adoption Bitcoin in the Central African Republic.
- Clarifies that it is not associated with the project. SANGO.
- The bank’s position is similar to that of the FMI.
El Banco World, the world’s leading international financial institution and lender, expressed concern about the Central African Republic’s plans to become the second nation to officially adopt a Bitcoin as legal tender, especially after recent announcements by the country’s authorities to establish a dedicated hub for cryptocurrencies locally.
Central African Republic moves forward with cryptocurrencies
As such, this pronouncement by the World Bank comes in response to recent statements from the Central African Republic’s Faustin Archange Touadera, who at the time revealed that the country established its first initiative in the cryptocurrency space named “SANGO”, which would have as its main responsibility to lead the agenda for Bitcoin and digital digital technologies are these electronic tools that have the ability to generate, store or even process data. currencies within the country.
According to the SANGO, This initiative had the backing of the National Assembly and the Central African president, for which it will create a cryptoeconomic zone based on these assets, which would be free from the payment of certain taxes. The agency also has among its plans to create a legal framework especially aimed at addressing cryptocurrencies, which would be presented before the end of this year.
In this regard, President Touadera commented:
“The formal economy is no longer an option… An impenetrable bureaucracy keeps us trapped in systems that don’t give us the opportunity to be competitive.”
World Bank speaks out against the plans of the Central African Republic
In view of this and other announcements, the World Bank took a position and clarified in a statement that the entity was not supporting SANGO, and indicated:
“The World Bank is not supporting SANGO: The Initiative’s first project in the cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. space… It is important that relevant regional institutions, such as the Central Bank and banking authorities, are fully consulted and remain in the driver’s seat on this plan. We have concerns regarding transparency, as well as potential implications for financial inclusion, the financial sector and public finance in general, in addition to environmental shortcomings.”
The clarification by the World Bank comes into place because the plan SANGO The project includes a development fund of about USD $35 million, funds that were approved by the financial institution for the digitization of the public sector.
As such, the position of the World Bank parece ir de la mano con los pronunciamientos realizados por el International Monetary Fund (IMF) The Central African Republic’s plans to formalize the Central African Republic’s membership in the United Nations, who have also expressed their rejection of the country’s plans to officialize the Bitcoin as legal tender.
- Central African Republic plans to create a tax-free “cryptocurrency hub” for Bitcoin
- International Monetary Fund warns Central African Republic on risks of officially adopting Bitcoin
- President of Central African Republic: Mathematics is the language of the universe, Bitcoin is the universal currency currency is a medium of exchange that defines value.
Version by Angel Di Matteo / DiarioBitcoin
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