Some anonymous domestic sources have confirmed that the Turkish President has decided to wage war against cryptocurrency. As of 2020, Turkey was amongst the top 20 countries with the highest rate of crypto adoption. However, Turkish citizens have had the highest exposure to cryptocurrencies.
According to a study, more than 16% of Turkish citizens said that they own cryptocurrency. One of the biggest reasons that people in Turkey were so in love with cryptocurrency trading is that the country had an unregulated crypto environment. As the result, Turkey has earned the status of a crypto-friendly country.
However, the country’s crypto-friendly status was meant to live short. The Turkish President has decided to launch an aggressive approach against the crypto market. The Turkish government will shut down the crypto mining practice across the country. Strict regulations are being imposed on the crypto market. Only those companies which are regulated by the government would be allowed to operate within the country.
In recent times Turkish nonregulated cryptocurrency market came under the spotlight. The government regulatory authorities began to fix limitations and buoy an expense system. In March, The Turkish Ministry of Treasury and Finance communicated worries about cryptographic forms of money. They likewise reported shared work on the theme with a few neighborhood controllers.
Back, in the month of April, the government via Presidential order banned the use of cryptocurrencies as the mode of payment in the country for buying goods. Shortly after the payment ban news, local media reported the collapse of two Turkish crypto exchanges Thodex and Vebitcoin. As a result, many investors suffered huge losses.
The Turkish Central Bank Officials have advised the President’s financial advisor that the non-regulated crypt marketplace can create huge financial chaos within the country as the crypto market is immensely volatile. The bank representative also said that government cannot allows the crypto market to put the country’s monetary system in danger. Hence, a just payment ban is not enough for the protection of people. A detailed regulatory mechanism is needed, however, until that President must impose a ban on all sorts of crypto-related practices within the country.
Moreover, the Turkish government also ordered international arrest orders for all the individuals who will now be engaged in crypto-related practices of any sort. However, the finance ministry seems to be preparing wide-scope documentation for regulating crypto practices in the country.
The Turkish President recently addressed the youth of the country and warned them to stay away from unethical crypto activities as of now. However, he added that government will review its decision once the market will be regulated.