Turkey is witnessing a resurrection in cryptocurrency trade of above one million per day. This is happening due to a continuous depreciation of the country’s currency.
Turks have started to see a safe haven in crypto to avoid the effects of soaring inflation. Also, it worries the country’s economic policy has seen the lira slump nearly 40% since September.
Moreover, according to the data from blockchain analysis firms Kaiko and Chainalysis, one million-a-day edge was first seen to have surpassed earlier in 2021. Further, the sudden substitution of Turkey’s central bank chief in March triggered the lira’s first significant slump of the year.
Besides that, the lira has lost 90% of its value since 2008. This loss has made Turks convert the currency into US dollars or gold more commonly. However, since the rise in the price of cryptocurrencies this year, trading in crypto has had a rush in popularity.
In addition, if we see Data from Chainalysis and Kaiko, Bitcoin and Tether have been the most popular for lira trades since 2019. However, Turkish authorities have been keeping a close eye on the rise in crypto trading.
In September, Reuters reported that Turkey’s deputy finance minister said that the emerging asset class regulations would be introduced.