- Inflation in Turkey has reached 44%
- And residents seek salvation in BTC and stabelcoins
The Turkish lira fell by more than 20% against the dollar after the elections. Now $1 sells for 20 liras.
Over the past decade, Turkish fiat has lost more than 90% of its value. This has been affected by a series of difficult cycles in the local economy.
Today, inflation in Turkey reaches a painful 44%.. Experts believe that Erdogan’s unorthodox economic policies will bring even more trouble to the economy.
Remind that Erdogan, an opponent of cryptocurrencies, won by a narrow margin of 52 percent. His competitor Kemal Kılıçdaroğlu received 48%.
Opposition advocated the abolition of unorthodox economic policies. Kiliçdaroğlu is also considered a big supporter of cryptocurrencies.
After the victory, Erdoğan adopted a hawkish tone. He pledged to continue his economic strategy. Turkey’s president is strongly against raising interest rates to curb inflation.
The falling lira could prompt residents to withdraw their savings into other assets, such as bitcoin and gold.
Turkey has banned cryptocurrency payments in 2021. But that hasn’t discouraged people from using digital money, especially when the lira is falling.
Turkey, however, is not against WEB3 technology. They are planning to implement blockchain identification in their public services application.
Turkey is also developing a digital hub for the public, to be called e-Human.