How Bitcoin can help Turkey

Turkey forex regulation

Bitcoin has been often used as a store-of-value cryptocurrency, rather than as a transactional one. Countries that face problems with their own currencies have now turned to Bitcoin as if it would be the “gold of tomorrow”.

Turkey may be the next country to bet on Bitcoin, given that the Turkish Lira is currently plunging. The collapse is primarily triggered by the latest US regulations. More precisely, the new regulations for the country include a higher import taxes on both aluminium and steel from the country. As a result, the Turkish Lira has decreased by around half of its own value for the last year.

Like most countries in economic turmoil and currency depreciation state, Turkey is seeing the rise of Bitcoin and other altcoins. The proof for that is the rapid increase in the traded volumes of cryptocurrencies on Turkey’s largest exchanges including Koinim and Paribu.

A similar situation recently occurred in Iran, where the native currency, Rial collapsed as a result of regulation and political tensions. Bitcoin’s value raised sharply and people reported that they feel better knowing they have some store of value in the face of Bitcoin and Ethereum.

Whether massive adoption of Bitcoin will occur in Turkey is unclear yet. The country is constantly in political turmoil and now the new US regulations have aggravated the economic situation. It is interesting to note, however, that countries who face currency depreciation turn to altcoins and Bitcoin for backup.


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