Central African Republic's Crypto Push Risks Elite Dominance and Foreign Exploitation, Report Highlights

The Central African Republic (CAR) has made significant strides in embracing cryptocurrency, but this move has increased elite control over financial resources and left the country vulnerable to exploitation by foreign criminal networks, as detailed in a recent report by the Global Initiative Against Transnational Organized Crime.

Key Takeaways

CAR's cryptocurrency projects increase elite control and risk exploitation by foreign criminal networks.
These initiatives promise economic growth but exclude most citizens due to limited digital access and ongoing insecurity.
Foreign interests and shadow networks play a prominent role in the crypto agenda.
Weak regulatory oversight and inadequate infrastructure hinder participation and expose citizens to risks.
Without stronger regulations and public education, the crypto ventures may worsen inequality and vulnerabilities in the country.

The report, titled “Behind the blockchain: Cryptocurrency and criminal capture in the Central African Republic,” reveals how the country's cryptocurrency initiatives, including the adoption of Bitcoin, the launch of Sango Coin, and a CAR meme token, operate within a fragile environment characterized by poor electricity supply, low internet access, and insufficient regulatory frameworks.

Limited Access for Citizens in CAR’s Crypto Ventures

According to the report, the CAR government presented its cryptocurrency initiatives as pathways to economic growth, modernization, and national development. However, in practice, the majority of citizens have found it difficult to engage meaningfully with these projects.

The severe lack of digital infrastructure and the country's ongoing security issues have effectively alienated most of the population from participating in these crypto enterprises. The report connects the launch of these initiatives to broader political trends, such as the consolidation of executive authority and increasing foreign influence.

Critics argue that CAR’s cryptocurrency efforts mainly serve the interests of the elite, providing privileged investment opportunities in sectors like mining, forestry, and tokenized land, which remain largely out of reach for the average citizen.

For instance, Sango Coin, introduced in mid-2022, promised to fund infrastructure projects like a “Crypto City” and offered foreign investors access to land and e-residency. However, only a small number of tokens were sold, and many anticipated projects remain unfulfilled.

The emergence of the $CAR meme coin in early 2025 was marked by extreme price fluctuations, technical issues, and unclear governance structures, leading to concerns about potential market manipulation and speculative behaviors.

The GI-TOC report underscores the influence of shadow networks and foreign actors with questionable backgrounds in promoting CAR’s cryptocurrency agenda. President Faustin-Archange Touadéra is reported to be surrounded by crypto enthusiasts, pro-Russian businesspeople, and controversial figures such as Nicolae Bogdan Buzaianu, associated with alleged illegal timber trafficking, and Émile Parfait Simb, linked to several fraud convictions.

Ultimately, the report suggests that these initiatives may primarily benefit a small group of insiders, while simultaneously facilitating new avenues for foreign influence and organized crime, disadvantaging the broader population in the process.

Challenges Facing CAR’s Crypto Ambitions

The CAR’s efforts to implement cryptocurrency have encountered significant domestic and regional obstacles. The decision to recognize Bitcoin as legal tender faced substantial backlash from international financial organizations, regional regulatory bodies, and even the country's own Constitutional Court.

In March 2023, following pressure from regional entities, the CAR parliament repealed Bitcoin's legal tender status and revised regulations to align with the standards of the Central African Economic and Monetary Community.

The report also highlights the concentration of power within the Sango ecosystem, primarily benefiting public officials and a select group of insiders. Such arrangements raise concerns regarding transparency and accountability.

Moreover, the tokenization of natural resources and land poses significant risks for misappropriation and rent-seeking, particularly in an environment marked by weak oversight and ongoing insecurity.

Efforts to address the risks associated with elite capture and criminal exploitation have been minimal. Though the CAR has begun collaborating with regional regulators to align its cryptocurrency regulations with broader monetary frameworks, challenges persist.

Infrastructure deficiencies, extreme poverty, and recurring political instability continue to limit citizen engagement and governance oversight. Observers caution that without stronger regulatory measures, education for the public, and international collaboration, CAR’s cryptocurrency initiatives may perpetuate wealth and influence disparities among elites while exposing the nation to financial and criminal vulnerabilities.