Falling Turkish Lira excites Bitcoin Fans in Turkey
The Turkish fiat currency, Lira is in a state of crisis and is falling drastically. Amidst this, the interest of Turkish people in Bitcoin is apparently on the rise. While this excitement may not be backed up by numbers, it still shows greater hope for virtual currency in the country.
The Turkish Lira has fallen by 45 % over the year, however, the immediate crash in value is being attributed to the sanctions imposed by the United States on Turkey. For example, at the beginning of August 2018, the tariffs on Turkish steel and aluminium were doubled, delivery of F-35 fighter jets was stopped and two government officials,justice minister Abdulhamit Gül and interior minister Suleyman Soylu were barred from using the US financial systems.
These measures were taken by the United States because Turkey refused to pardon an American priest residing in Turkey who was accused of spying on the nation and attempting to overthrow the government by being part of the Islamic Gulen Movement.
While the Turkish authorities said that the impact of this on the currency would be low, the charts and numbers show a different story.
The crash has also impacted other currencies around the world such as the Euro, the Argentinian Peso, South African Rand, the Indian Rupee and the Indonesian Ringgit according to The Guardian.
Koinim, and BTCturk, two of Turkey’s big crypto exchanges show an increase in use in light of the downfall of the Lira.
Bitmov(a pseudonym), an Istanbul based marketing professional told Coindesk,
I started personally trading crypto 1.5 years ago because of the weakness of the Turkish lira, and fear of the political, and financial, status of the Turkish government. Cryptocurrency makes me feel much safer…If your national currency is falling like this … or you don’t trust centralized currencies and banks, what can you do? You should be your own bank, and I’m sure people all around the world will realize that soon.
However, in reality, the price of Bitcoin has fallen more than the value of Lira.