The Acceptance Speed of Bitcoin in Turkey Is on the Rise

Last Modified:21 May 2019 13:56:46
The Acceptance Speed of Bitcoin in Turkey Is on the Rise

Even though the central bank of Turkey believes that Bitcoin is a threat to the global banking system, the acceptance speed of Bitcoin in this country is on the rise. Numerous banks and states, including the central bank of Turkey, are worried about the impact that Bitcoin has had on the global financial industry in recent years.

If the volume of Bitcoin in trades, user bases, infrastructures and the acceptance by financial institutes increases, it will turn into the main part of the global financial section and a rival for governments, fiat money, and central banks.

Bitcoin has turned into a challenge for many governments and central banks, and it often forces authorities to decide between one of these two alternatives; either be a pioneer in the development of Bitcoin by accepting it or isolate their economy by rejecting Bitcoin.

Despite all these approaches and attitudes in other countries and especially Turkey, things in this country are starting to another direction.

Increase in the Bitcoin Value in Turkey

Last week, the value of the Turkish lira substantially decreased against the U.S. dollar. However, this did not only lead to the decrease in the value of Bitcoin but in fact, the king of cryptocurrencies had an increase in value in Istanbul.

Andy Cheung, the operation manager of global encryption trades, told Coindesk that more than 30,000 Turkish users have registered to use this platform, since this platform developed its services to include Turkey on March 26. Other data back the growth in the Turkish market as a pioneer market in Bitcoin.

Cheung said: “Turkey is surely the only country with a high percentage of personal ownership in Europe and the middle east. This is one of the most powerful and encouraging cryptography associations in the world.”

The data from CoinMarketCap indicates that lira’s share of global liquidity is 6 percent in 2019 and is the fifth popular currency as the backup for cryptography all across the world.

Most European Bitcoin Holders Are in Turkey

Those who register talk about the relatively high acceptance rate in Turkey. Through a survey conducted by the investigator from ING Bank in April 2018, it turned out that currently Turkey has the highest number of Bitcoin holders in Europe and only 18 percent of Turkish respondents say that they have cryptocurrencies. (throughout the world, Turkey had the highest number of respondents. Also, it is expected that crypto holders in Turkey, compared to 21 percent in the U.S., to become 45 percent in the long run.)

Through this number may seem small compared to exchange giants in the U.S. such as Coinbase, but Turkish dealers have gained an increasing impact on the global market.

The Reason for Bitcoin Price Increase in Turkey

Coinbase managers believe that economic crises lead to more population in Turkey to turn to accepting Bitcoin. Before this, Bryan Armstrong, the CEO of this company, told Bloomberg that economic crises in the world in 3 to 5 years could lead to cryptocurrencies being accepted.

Global Actors

Meanwhile, the Istanbul crypto exchange Guneri launched fundamental services in the beginnings of the current month for foreign investors for the first time, in order to invest in cryptocurrency opportunities.

With respect to the policies of the Turkish crypto exchanges that are defined through their relations with local banks, many of the dealers will gain their first Bitcoin in the country, and then they will send these digital assets to global trades with a wider range and fiat liquidity options.

All in all, these conditions indicate that Turkey is facing a great volume of accepting cryptocurrencies and especially Bitcoin, the volume that will not decrease and will also have a great increase in the near future.