The president of Turkey, Recep Tayyip Erdogan, stated that Turkey was at war with cryptocurrencies during a conference with students from 81 districts, which took place in the city of Mersin on September 18.
The Turkish central bank put a ban on cryptocurrency payments in mid-April, effectively prohibiting local businesses from engaging in transactions using the innovative asset. The decision was based on several factors, the most important of which were regulatory uncertainty, extraordinarily high volatility, and crime.
Erdogan stated that the proliferation of digital assets is not a concern in his country and that it “definitely” does not pose a threat. The president went on to say that Turkey would continue to use its own currency, which he believes is an important aspect of the country’s national character.
The introduction of a digital lira is on the horizon. Turkish President Recep Tayyip Erdogan made the remarks after the central bank launched an experimental platform for researching and testing an electronic version of the lira in September.
During the first stage, the proposal will be subjected to a series of limited tests designed to determine its feasibility. The outcomes of the pilot phase will be released early in the following year. Erdogan’s Annual Presidential Program for 2019 included the exploration of the issuing of a CBDC, which he announced in January.
Cryptocurrency is popular among Turks. In spite of the fact that Turkey’s economy is beset by out-of-control inflation and currency depreciation, it routinely ranks among the top countries in terms of cryptocurrencies adoption.
In late March, Google searches for the word “Bitcoin” increased by more than 500 percent when the value of the Turkish lira plummeted by a startling 17 percent in a single day as a result of Erdogan’s removal of the country’s central bank chief.
The president wishes to discourage Turks from investing their resources in decentralised cryptocurrencies, which are now out the reach of Erdogan’s government.
