Turkey announced on Friday April 16, 2021 that it was banning Bitcoin payments on its territory. Back to an announcement that caught many people off guard...
Turkey decides to suspend crypto payments: the official reason
The measure was taken on the Friday evening. The government has indicated that payments and transactions in crypto are now prohibited in Turkey. The effect on the crypto market was immediate with Bitcoin's price tumbling 4%.
To motivate its decision, the Turkish central bank has put forward the decentralization of cryptos:
Bitcoin very (too) popular in Turkey
As expected, this decision was not well received by all. First, the main Turkish opposition party strongly denounced this decision both in substance and in timing. Indeed, this coercive decision and the fact of publishing it in the official journal in the evening of Friday looks more like an operation to “sneak” an unpopular measure.
It must be said that cryptos were very successful in Turkey. With the country facing high inflation, many Turks have adopted Bitcoin to protect their purchasing power. Thus, Bitcoin transactions amounted to more than 22 billion euros between the beginning of February and the end of March.
This decision follows the dismissal of the central bank governor, which raises some questions. Some see the move as a way to strengthen President Erdogan's grip on his economy. Like the similar decision taken in Nigeria a few weeks earlier, these decisions are more political than economic. And as often, it is the inhabitants who are the first victims, increasingly destitute in the face of a faltering and inflationary economy.
Origanlly posted on my Publish0x account.
Price tumbling 🤔😁😁😁it should increase...