"CAR's MemeCoin Surge: Scam or Savior? President Defends Project Amid Skepticism"
1min read The Central African Republic (CAR) has sent shockwaves through the crypto world with the launch of its own memecoin, $CAR. On February 9, the token was announced through President Faustin-Archange Touadéra's official X account as an "experiment" designed to unite the nation and boost economic development. Built on the Pump.fun platform via Solana, the memecoin quickly gained traction, surging to a market cap of $530 million within hours. However, skepticism and controversy soon followed.
Crypto analysts and traders raised concerns about the legitimacy of the project. Skynet Insights, a well-known blockchain research group, warned that $CAR could be a scam, alleging that insiders control 80% of the supply and have already cashed out more than $15 million. Others noted suspicious details, such as the use of Namecheap, a budget domain provider, to register the official website just three days before the launch, raising doubts about the token's government-backed status.
The controversy deepened as AI detection tools marked the presidential video announcement as likely to be a deepfake. Deepware, a tool for deepfake verification, analyzed the video and found an 82% chance of manipulation, casting doubt on the president's support for the project. The situation grew even more murky when X unexpectedly suspended the official account @CARMeme_News, which promoted the memecoin, further fueling speculation about the token's legitimacy.
Despite the growing skepticism, President Touadéra defended his support of the project, reminding his supporters of his role in advancing digital currency adoption. He became only the second world leader, after El Salvador's President Nayib Bukele, to support Bitcoin as a national tender. However, the government later reversed Bitcoin's legal tender status in 2023, raising questions about its long-term commitment to digital assets.
As skepticism builds, some investors have pocketed significant gains. An investor traded 25 SOL-worth $5K into $12 million within just three hours, according to an on-chain analysis by Lookonchain. Memecoins continue to generate volatile speculations, with traders raking in profits while facing equally extreme risks.
It is not the first time that CAR has ventured into crypto. In 2022, the country made Bitcoin legal tender, following El Salvador 
