The recent launch of a memecoin by CAR President Faustin-Archange Touadera saw it peak at over $900 million before a dramatic collapse of 75%. This event has raised questions about the memecoin’s legitimacy, compounded by the use of questionable promotional tactics and concerns about hacks. A similar scam in the neighboring DRC illustrates wider issues in the cryptocurrency landscape.
A newly launched memecoin by Central African Republic (CAR) president Faustin-Archange Touadera surged to a market cap exceeding $900 million before swiftly losing over 75% of its value. Late on February 9, Touadera announced the CAR memecoin, branding it as a means to unite people and showcase national development on the global stage, reflection of the current crypto hype culture.
Touadera has a history with digital currencies, having made Bitcoin legal tender in 2022 before reversing the move amid criticism. Launching a memecoin aligns with his past actions, as he also introduced a local token named Sango last year, which did not succeed. He stated his belief in crypto’s global potential.
Concerns arose quickly about the CAR memecoin, especially since its domain was registered only three days before its announcement. One founder emphasized that the timing and presentation of the project seemed unprofessional for a national initiative. The registration service, Namecheap, ultimately suspended the domain due to abusive practices.
The timing and language used for the launch raised further suspicions. Announcing the project at nearly midnight in CAR and exclusively in English seemed odd, stirring doubts about authenticity. Following this, a video of Touadera purportedly launching the project was identified as a deepfake, amplifying questions about the initiative’s legitimacy.
As speculation intensified, the CAR government has not confirmed whether the X account was hacked or if the memecoin is genuine. Similar to past incidents of social media account hacks promoting fake tokens, this situation remains precarious, with the CAR memecoin still operational on Solana, holding a $262 million market cap, despite earlier volatility.
A copycat memecoin was launched by an account impersonating Democratic Republic of Congo (DRC) president Félix Antoine Tshisekedi, which peaked at $230,000 but collapsed due to platform oversight. This fabricated account had suspiciously mimicked promotional materials from the CAR memecoin. No official statements have been issued by the DRC regarding this incident.
The CAR memecoin, launched by President Touadera, quickly rose and fell in value, prompting skepticism about its legitimacy. With a background in crypto initiatives and previous failures, the questionable timing, sudden domain registration, and AI-generated promotional video raised alarms among experts. A similar scam in the DRC only highlights vulnerabilities in the crypto space, calling for caution from investors and clearer regulatory measures.
Original Source: coingeek.com
