On February 10, the Central African Republic announced the launch of its own memecoin $CAR. President Faustin-Archange Touadéra described the initiative as an experiment to foster national unity and economic development.
The Making of $CAR
In 2022, CAR became the second country after El Salvador to adopt Bitcoin as legal tender. The launch of $CAR continues the country's progressive crypto policies. The memecoin debuted on the Solana-based launchpad Pump.fun, with its market capitalization rapidly reaching $590 million.
Skepticism and Authenticity Concerns
The project has faced a wave of skepticism. The potential use of deepfake technology in the President's video address heightened doubts. Discrepancies in deepfake detection results and irregularities in the domain registration process have led critics to suspect a sophisticated scam.
Tokenomics Issues of the New Memecoin
The tokenomics of $CAR raise centralization concerns: 33.31% of tokens are held in a single wallet, with another address controlling 25%. Such concentration raises questions about whether $CAR is truly a state-backed initiative or a speculative asset controlled by a few entities.
The crypto community's reaction to the launch of $CAR is mixed. Despite doubts and concerns, the initiative has captivated attention towards Central Africa and its progressive crypto policies. However, the project's impact on the country's international standing and economic development remains uncertain.
