- Inflation in Turkey reached 44%
- And residents are looking for salvation in BTC and stablecoins
After the election, the Turkish lira fell against the dollar by more than 20%. Now $1 is sold for 20 lire. Over the past decade, the Turkish fiat has lost over 90% of its value. This was influenced by a series of difficult cycles in the local economy.
Today, inflation in Turkey reaches a painful 44%. Experts are confident that Ergodan’s unorthodox economic policy will bring even more trouble to the economy.
Recall that Erdogan, the opponent of cryptocurrencies, won by a small margin of 52%. His rival Kemal Kilicdaroglu received 48%. The opposition advocated the abolition of unorthodox policies in the economy. Kilicdaroglu is also considered a big supporter of cryptocurrencies.
After the victory, Erdogan adopted a hawkish tone. He pledged to continue his economic strategy. The Turkish President is categorically against raising interest rates to curb inflation.
The fall of the lira could encourage residents to move their savings into other assets such as bitcoin and gold.
Türkiye banned cryptocurrency payments in 2021. But this did not deter the population from using digital money, especially when the lira falls.
However, Türkiye is not against WEB3 technologies. They plan to implement blockchain identification in their public services application. Türkiye is also developing a digital hub project for the population, it will be called e-Human.