The Central African Republic this year, following the example of El Salvador, announced the adoption of BTC as legal tender in its territory. But as it turns out, this is not the end of the story.... Well, it just so happens that the authorities there are in the process of issuing a national cryptocurrency entrusted with an ambitious plan to move their country into the circle of developed economies.

TECHNICAL ISSUES

SANGO COIN, as the nation's cryptocurrency is called, is the main cryptocurrency of the SANGO blockchain, which in turn is a sidechain of Bitcoin. Here it is necessary to make a slight digression about BTC. Probably many associate BTC as just a cryptocurrency... and for a very long time this was true, until the Taproot update was carried out last year. With this update, BTC acquired such functionalities as:

- smart contracts

- quick transactions

- privacy layer, although to be sure, one would have to wait for SANGO coin to be released on the free market, which with the methodology of acquiring various privileges could take years. Moreover, the first SANGO coin on the open market is expected in about a year anyway, because that's how long the lockout period of SANGO coin purchased in the app lasts SANGO

It is worth mentioning that this solution is used not only by SANGO coin, but something like modern municipal currencies in the form of technology City Coin.

How to get a SANGO coin

Preliminary remark:

Currently, SANGO coin is not in free circulation, so you need to comply with certain financial preconditions set by national authorities.

The financial conditions are as follows:

In the current phase of issue number 0, which the creators of the SANGO project have named Genesis, the minimum amount to purchase SANGO is the equivalent of $500. The phase runs from July 25, 2022 to August 24, 2022.

After this period, a cycle of 12 phases will be launched, which will last a year from August 25, 2022 to August 25, 2023. To participate in any of them, in turn, you need to prepare funds equivalent to at least $100.

The said funds must be transferred to deposit accounts in the following cryptocurrencies*:

- BTC (Bitcoin)

- ETH (Etherum)

- BSC (BNB Smart Chain)

- USDT (ERC-20/BEP-20)

- BUSD (ERC-20/BEP-20)

- DAI (ERC-20/BEP-20)

Now that we have discussed the issues of preparing funds, we can move on to the actual stage of obtaining SANGO coin:

Start the entire process by going to the SANGO application page and registering. After successfully registering and then logging in, you are taken to the user page, which then opens up further possibilities for the first application in the SANGO ecosystem.

To continue, you must now go to the MyWallet tab, where you must complete the acceptance step (...)Terms and Conditions for SANGO(...). Here a small warning... the window where the terms and conditions for the service are displayed is fatally structured which negatively affects the freedom to read it. The step of confirming the terms and conditions is followed by an identity verification step in the KYC process. Unfortunately, due to hardware shortages, I could not get through it, so the content of my advice may be slightly incomplete.

After verification, the app should provide accounts for the 6 cryptocurrencies I listed in the subsection (...)Financial conditions(...), which are mainly to collect funds for conversion to SANGO coin. After depositing funds in these accounts to authorize the purchase transaction of SANGO coin, recall that these are cryptocurrencies with an equivalent depending on the phase of issue of either $100 or $500, the actual stage of obtaining the national cryptocurrency of the Central African Republic can be made. In order to purchase SANGO coin, you need to go to the Products tab, and then click on the Get SANGO button.

The transformation of the deposited funds into SANGO coin will take place under the following conditions:

After the initiation of the investment process, the committed funds are converted to USD and then to SANGO coin. Conversion to USD is performed depending on the source cryptocurrency:

- USDT, BUSD and DAI are stablecoins, so they will be converted as they are

- On the other hand, the rates of BTC, ETH and BSC to USD are taken from the Coingecko API with a validity period of 5 minutes within which you must confirm your willingness to invest or refresh the page after they expire.

You can find out the exchange rate between USD and SANGO coin as follows:

Go to the Dashboard tab and look at the top of the page. There, there are flipped squares marked with numbers that symbolize the phases of the issuance process. When you find the square denoting the current phase, click on it and when the new data loads, just find the price signed (...)Current price(...).

Note, however, that according to the help included in the application, the final exchange rate of the cryptocurrency to USD and then SANGO coin will be included in the email sent after the transaction is approved.

Once the purchase of SANGO coin is booked, you will be able to start using them freely after the 1-year lock-in period.

Benefits offered hodlers SANGO coin

I will first deal with what can be found in the Products tab of the SANGO application, and will be made available in Phase 1 of the issuance process. Among the choices the user gets are:

Citizenship

Acquisition of citizenship of the country Central African Republic. In addition, on the SANGO coin website they boast 0% income tax on cryptocurrencies.

Cost - SANGO coin blocks the equivalent of $60,000 for 5 years.

Eresidency

If I understand correctly from the SANGO coin website, the main advantages of acquiring E-resident status are a 0% percent income tax on cryptocurrencies, the ability to set up a business online, and the general digitization of administrative and bureaucratic services. This is all reminiscent of the solutions introduced by Estonians in the E-stonia program, except that Estonians are still shying away from cryptocurrencies for the time being.

Cost - SANGO coin blockchain equivalent to $6,000 for 3 years.

Land

Acquisition of a 250-square-meter plot of land in the residential area of Crypto City, an extension of the country's capital Bangui. In addition, the plot had its copy in the metaverse being a 1:1 reproduction of Crypto Island, on which the said district is to be located.

Cost - SANGO coin blockade equivalent to $10,000 for 10 years.

After release from the one-year blockade SANGO coin will enter the market will gain the following opportunities:

- company registration will only be possible through SANGO

- interaction with government infrastructure will be possible only through SANGO

- SANGO coin and BTC will be the currencies with which to pay taxes

- access to the new Metaverse will be possible through SANGO

- acquisition of land property from government resources will be possible through a 10-year blockade of a certain number of SANGO coin and BTC

- SANGO coin will be used as collateral in public-private partnerships

SANGO coin further provides the opportunity to invest in the exploitation of natural resources found in the territory of the Central African Republic through the following process (per SANGO website):

- The Central African Republic decides on the exploitation of an exemplary gold mine (...)X(...)

- The Central African Republic, through an independent institution, certifies the existence of certain resources

- The Central African Republic develops a business plan

- The business plan is audited by a trusted entity

- on the basis of the business plan, initial operating costs are estimated, and the state prepares an offer for investors

- a public offering is announced in the SANGO application to investors from around the world

- investors are required to post collateral to participate in the tokenization process

- the tokenization process is fully automated through the SANGO blockchain, and funds, including dividend payments, are managed through the SANGO app