Central African Republic is the second country to adopt Bitcoin and this is yet another piece of good news for crypto adoption. I'm particularly pleased by this situation because this is a country that is relatively closer to Nigeria than El Salvador.
The news hit the airwaves yesterday and has suddenly thrust the country of roughly 5 million people into the spotlight. For what it's worth, CAR adopting Bitcoin doesn't mean much in the general scheme of things though.
I mean, not to take anything away from the country but they have a total population of roughly 5 million people. On top of that, their GDP is about $2.4 Billion.
Central African Republic has the second lowest Human development Index and about 79% of the population lives in abject poverty. To put it into perspective, as at 2021, 40% of Nigerians live in poverty and I consider this place a hell hole.
Note that percentages don't tell the full story though. 40% of nigeria translates to over 80 million people, while 79% of a small population like CAR translates to about 4 million. This is probably why the news didn't exactly have any impact on the price of Bitcoin.
Central African Republic is a country that has been embroiled in a number of political issues recently. There have been a number of unsettling events concerning Central African Republic in recent times, and adopting Bitcoin will not fix them immediately but there's hope.
In any case, it will be fascinating to see how the adoption of Bitcoin will actually impact their economy. Perhaps, the country could join a short list of countries where people go to experience crypto tourism.
It's Global
I don't like politicians and cryptocurrency getting involved with politics will never sit well with me. In the case of CAR, I don't think politics is as much a factor than the potential of receiving a new source of income.
I'm pleased that the citizens of the country can now access crypto and live off it. This will open up opportunities on a global scale for citizens.
I can imagine there's a citizen, like me, living in the country and living 100% on crypto right now. That citizen will soon be a beneficiary of a crypto company like finance offering them debit card services that will make their lives infinitely easy.
Citizens in CAR, unlike Nigeria, do not ave to worry about being harrased by the police and law enforcements. Banks in CAR do not receive random sanctions from the Central Bank because they failed to report suspicious crypto activities.
For Central African Republic as a nation, this is an opportunity to delve into a new source of internally generated income. The country could accept tax in Bitcoin, hodl for 50 years and with proper management, we could see CAR become a world power.
There is no doubt that Bitcoin will be a major player in the future. In 50 years, we could be seeing the crypto industry become the most valuable industry with values reaching tens of Trillions of dollars.
In the coming years, we'll be seeing even more countries adopting Bitcoin and long term, we'll be able to gauge the impact that the decision has on the countries that adopt Bitcoin. On the surface though, it seems like a brilliant idea that could lead to major financial benefits for the adopters. Time will tell.
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. Keep up the fantastic work
