Central African Republic’s CAR Meme Coin Sparks Frenzy, Controversy, and Collapse

Wild Market Ride for CAR Following Presidential Endorsement

A political gamble turned into a financial spectacle as the Central African Republic (CAR) introduced its national meme coin, CAR, in a move that sent shockwaves through the crypto market. 

President Faustin-Archange Touadéra took to X (formerly Twitter) on February 9, 2025, to unveil the project, calling it an “experiment” to demonstrate the unifying power of meme coins while elevating CAR’s presence on the global stage. 

Within hours, the token ignited a speculative frenzy, surging 1,210% and reaching a staggering $897.41 million in market capitalization—nearly 30% of the nation’s GDP. The launch, executed via Solana-based platform Pump.fun at 10:25 PM UTC, saw high-profile traders swiftly piling in, seizing on the hype to turn modest investments into life-changing profits.

One trader in particular made headlines, transforming a $5,000 investment into over $12 million in just three hours. Blockchain data revealed that they acquired 46.57 million CAR for 25 SOL (approximately $5,000) and quickly offloaded 22.65 million tokens for 8,395 SOL (~$1.67 million), while holding onto the remaining 23.92 million—later valued at $10.5 million. 

The official tokenomics breakdown initially appeared structured, allocating 35% of the supply for country development, 25% for the team, 20.7% for liquidity, 10% for charity, and 9.3% for public distribution. On-chain analysis by Bubblemaps confirmed the allocations, but skepticism loomed as questions emerged over the legitimacy of the launch.

Doubts intensified when the President’s announcement—posted close to midnight local time—raised concerns about its authenticity. The post, written entirely in English rather than CAR’s official languages, fueled speculation that his account may have been compromised. 

Attempts to dispel the skepticism led to the release of a video featuring President Touadéra endorsing CAR, yet two independent AI detection tools flagged it as a possible deepfake. Deepware’s AI model assigned an 82% probability that the video had been artificially generated, adding another layer of controversy to an already chaotic situation. Supporters countered that AI detection tools have previously misclassified real videos, leaving the debate unresolved.

Technical issues further eroded trust in the project. The CAR website, registered via Namecheap just three days before launch, was abruptly suspended, along with the official X account, @CARMemeCoinNews. Touadéra announced that he and his team are working with X to quickly restore the suspended account.

Blockchain sleuths uncovered further irregularities in the smart contract. Developers had initially claimed that all tokens were locked through Streamflow, but investigative reports revealed they had quietly canceled the original contract, redirected the funds back to their wallets, and deployed a new contract without implementing token locks. It was estimated that developers retained at least $17 million worth of CAR, with full access to the project’s $3 million in liquidity—raising fears of an impending rug pull.

The volatility culminated in a brutal price collapse. After peaking at $897 million, CAR’s market capitalization plunged 87% within 11 hours, sinking to $125 million. A subsequent X update from the President briefly pushed the market cap back to $375 million, reflecting a 196% rebound, but the token’s trajectory remained downward. 

As of the latest data, CAR’s market capitalization stands at just $60 million—marking a 93.3% decline from its all-time high. Prices crashed over 90% in just 24 hours, leaving investors reeling from multimillion-dollar losses. Many within the crypto community have already labeled the project a rug pull, while others point to broader issues surrounding meme coin speculation.

Crypto experts and analysts have weighed in with scathing critiques. Unrevealed XYZ founder Yokai Ryujin flagged glaring red flags, from the midnight announcement to the suspicious domain registration and the contract’s manipulation risks. 

Solana DEX Jupiter’s founder, Meow, attempted to reach CAR government officials for confirmation but received no off-chain verification. Crypto investigator CoffeeZilla likened CAR to the controversial TRUMP token, suggesting it could be an orchestrated financial scheme.

CAR’s crypto experiment follows a history of bold but troubled blockchain initiatives. The country was one of the first to adopt Bitcoin as legal tender in 2022, joining El Salvador in a landmark move. However, the government later introduced Sango Coin, a token promising e-residency and land ownership benefits, which ultimately failed to gain traction. 

Amid mounting regional and international pressure, CAR repealed Bitcoin’s legal tender status in March 2023. The launch and fallout of CAR now add another chapter to the nation’s turbulent crypto history, underscoring the fine line between innovation and financial chaos in the ever-evolving digital asset landscape.

This article has been refined and enhanced by ChatGPT.