In the wake of the civil unrest that’s on the verge of tearing Cameroon government apart and creating two sovereign nations, the country’s separatist government has announced the launch of a new cryptocurrency called AmbaCoin, a name coined from the region’s proposed country name Ambazonia which is yet to have international recognition.
The self-claimed sovereign country which is predominantly occupied by the English speaking citizens made the announcement concerning the launch of the sovereign autonomous digital asset, which is to operate independent of the Cameroon’s default currency, the Franc.
The cryptocurrency (AMBA) which will reportedly serve as the official currency of the Federal Republic of Ambazonia will operate on the ERC-20 standard and the separatist country are pushing to ensure that the currency stays.
AMBA will be the second cryptocurrency raised to fund an ailing economy in the world, following Venezuela’s Petro which was born out of the need to rescue the country from the hyperinflation it’s currently going through.
The reports came sequel to the increasing intensity of the civil struggle and unrest in the West Africa country where there the English speaking and French speaking regions have butted heads against each other.
A total of 100,000,000 tokens supply was made available in the pre-ICO sale and QZ Africa reported that well over 20,000 AMBA tokens have already been purchased, leaving some 99,980,000 token left.
When the actual AMBA ICO sale kickstarts on the 24th of December, 1 AMBA is expected to sell for $0.25, and the coin is said to be backed by asset.
The Ambacoin whitepaper explains that investors in the coin will be able to recoup their investment just in the same manner external investors can benefit from the acquisition of treasury bonds and bills.
The paper further reads:
“As large numbers of people in the Ambazonian diaspora seek to invest in the country, they will be able to recoup their investment with handsome interest far beyond that available from treasury bonds and bills. At the same time, investors will have the unique and privileged opportunity to help put a nation back on track after the decades of misfortune as a marginalized people within Cameroon.”
Although there are some similarities shared between Ambacoin and Venezuela’s Petro, the coin still has its uniqueness.
One of the features that makes Ambacoin look like a copycat of Petro – that is apart from the fact that they both emerge out of the need to revive a down economy- is that the Cameroonian cryptocurrency is said to be supported by Ambazonia’s natural resources. The digital currency will also be backed by future treasury earnings.
Also, just like the case with the Petro, there are questions being raised as to how the natural resources and future earnings will be factored and calculated to give the cryptocurrency the needed value.
There’s also some questions about the lack of clarity concerning how the resources to bankroll the coin will be quantified. This also brings to the fore, the question of how the resources will be pulled together, given that majority of the resources under the Cameroonian military are still under the firm grip of the Southern region.
The crypto enthusiasts are also concerned about AmbaCoin promoters’ lack of explanation as to the framework that will ensure the promise of making the coin a new national fiat currency. The experts behind the coin also stress that the currency will generate a lot of investment and revolutionize the crypto ecosystem.
Chris Anu, the Secretary of State for Communications and IT to the Cameroonian separatist government insisted that paper bond notes which stand for AmbaCoin tokens are already being prepared ahead of the proposed pre-ICO sale launch.
Although there are scary and uncertain issues surrounding the economic and technical sustenance of AmbaCoin, its acceptance and adoption among the people in that region of Cameroon cannot be undermined.
The region prides itself in parading more than 2 million investors in the diaspora who would be willing to try out the digital asset with a view to helping the realization of the Ambazonia’s nationality.