These past few days in Turkish currency is losing its value day by day.

Turkey has lost already half of their value compared to the US dollar since the beginning of the year. Turkey currency crisis is caused by the political situation currently in Turkey. It’s about the unstable situation and adjust the weak economy that is showing its face.

As Impakter writes, “The Lira, weak since the start of the year, went into free-fall by August 13, following two hostile American policy moves. One was sanctions hitting two Turkish government officials, the Justice and Interior ministers, on August 1. The other was a Trump tweet announcing steep tariffs on steel and aluminum on August 10”.

Donald Trump's Tweet about Turkey Currency Crisis
Donald Trump’s Tweet about Turkey Currency Crisis

Impakter adds that Turkey currency crisis might become the new Venezuela,

where President Maduro regularly blames America for its economic woes. “Venezuela and Turkey are in the hands of dictators that won’t give up one inch of power while the economy collapses around them.”

People have heard about Venezuela and Argentina. These are emerging markets that are having some serious issues with the currencies, and Turkey is no exception. But, unlike those other currencies, the Lira has been seeing high set of trade volume with Bitcoin.

“Turkey has seen an uptick in consumer interest in Bitcoin since the Lira, which had already halved in value against the dollar since January, rapidly slid to all-time lows over a raft of geopolitical factors.” Cointelegraph reports.

People might start looking to Bitcoin, ironically, as a hedge for uncertain economic times.

As fiat currencies may not stand up as well in times of a global trade war. The fiat currency that can be cut in half in a matter of weeks makes people learn the quickest about the value of cryptocurrency.

 

PD Nitami

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