Last year, the Turkish government took an anti-crypto stance and advised citizens not to invest in it. However, today, instead of bans, the government is going to develop legislation to regulate and control the cryptocurrency market. Former Industry Minister Ahmet Kenan Tanrikulu suggested that the government develop its own national cryptocurrency “Turkcoin”.
The opportunity to use the technology behind cryptocurrency should not be missed, the politician said, emphasizing that cryptocurrency is already being used in Turkey despite the lack of a legal framework.
Deputy Prime Minister Mehmet Simsek said the government has begun preparations for the release of a national cryptocurrency. In fact, investments are already being made into a project to create a local cryptocurrency and will reportedly make such a cryptocurrency available soon.
The plan is that large government assets in the Wealth Fund, such as Turkish Airlines, Istanbul Stock Exchange, Botas Gas Company, Turk Telekom, Ziraat Bank and the National Lottery, will, in a sense, serve as an "insurance policy". Investments in currencies will be valued in the same way as investments in these companies in the Wealth Fund. Profits from Turkcoin may not reach 1,700% per year, like bitcoin, but there will be no risk of a price drop of 70% per month. Thus, the proposed Turkcoin is more reminiscent of asset-backed securities than existing cryptocurrencies.
Low risk combined with returns exceeding government bond yields can make the currency attractive to novice investors.
According to https://www.al-monitor.com
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