President Erdogan: Turkey to Finish Testing Digital Lira in 2020

Published at: Nov. 5, 2019

Turkey's President Recep Tayyip Erdogan directed that the government should finish testing the national central bank digital currency (CBDC) in 2020. The country’s national blockchain-based digital lira is planned to be issued by the Central Bank in accordance with the 2020 Annual Presidential Program, Cointelegraph Turkey reported on Nov. 5.

Digital lira ‘instant payment’ pilots should be finalized by the end of 2020

Published on Nov. 3, the Presidential Program specifies that the first trials of the digital lira should be conducted and finalized by the end of 2020, according to a document published by Turkey’s official national publication Resmi Gazete on Nov. 4.

Within the pilots, the government reportedly plans to develop a software platform for instant payments based on the digital lira. Alongside the central bank, the project will also involve the national tech innovation agency — the Scientific and Technological Research Council of Turkey, also known as TUBITAK.

As reported by Cointelegraph Turkey, the launch of the digital lira is part of the country’s objective to strengthen the local economy. The document reads:

"The main objective is to establish a financial sector with a strong institutional structure that can respond to the financing needs of the real sector at a low cost, offer different financial instruments to a wide investor base through reliable institutions and support Istanbul's goal of becoming an attractive global financial center."

Industry adoption rises in Turkey

The inclusion of the digital lira in the 2020 Annual Presidential Program of Turkey follows previous plans outlined by the state in the country’s 2019-2023 economic roadmap issued in July 2019. In addition to a CBDC, the government is interested in implementing blockchain technology for transportation and customs as well as public services and administration.

In September, the government of Turkey announced plans to set up a national blockchain infrastructure to deploy distributed ledger technology in public administration.

As reported Nov. 1, Changpeng Zhao, CEO of major cryptocurrency exchange Binance, will be a speaker at the Turkish Capital Markets Summit 2019 in Istanbul from Nov. 19–20, 2019.

Tags
Adoption
Blockchain
Digital Currency
Government
Central Bank
Banks
Turkey
Related Posts
BIS: No Central Bank Digital Currencies Focus on Cross-Border Payment
Cross-border payments do not appear to be a priority as countries all over the world to engage with their own digital currency projects, a new report says. While global governments are competing to become the first country in the world to issue a central bank digital currency (CBDC), no CBDC project really focuses on cross-border payments, according to a new study released by the Bank for International Settlements (BIS). No ongoing global CBDC projects explicitly focus on cross-border payments The BIS’ new CBDC revelation is part of the bank’s quarterly review, the “International banking and financial market developments,” issued on …
Adoption / March 2, 2020
Crypto Bahamas: Regulations enter critical stage as gov't shows interest
The crypto community and Wall Street converged last week in Nassau, Bahamas, to discuss the future of digital assets during SALT’s Crypto Bahamas conference. The SkyBridge Alternatives Conference (SALT) was also co-hosted this year by FTX, Sam Bankman-Fried’s cryptocurrency exchange. Anthony Scaramucci, founder of the hedge fund SkyBridge Capital, kicked off Crypto Bahamas with a press conference explaining that the goal behind the event was to merge the traditional financial world with the crypto community: “Crypto Bahamas combines the crypto native FTX audience with the SkyBridge asset management firm audience. We are bringing these two worlds together to create a …
Adoption / May 3, 2022
Draft of India’s National DLT Strategy Calls for State-Run Digital Rupee
A draft of India’s national strategy on blockchain and distributed ledger technology suggests a central bank digital currency (CBDC), the digital Indian rupee, and a national blockchain. The National Institute for Smart Governance (NISG), a non-profit public body incorporated by the government of India, has published a draft document on the country’s national blockchain strategy. Issued on Dec. 30, the document appears to have been published recently as major local publications such as The Economic Times of India reported on the draft strategy on Jan. 28. Digital rupee should be issued on a national blockchain of India In the document, …
Blockchain / Jan. 28, 2020
Japanese Official Calls for Urgent Development of Digital Yen to Counter China
Another Japanese lawmaker has publicly called for the swift development of the digital yen. The head of the banking and finance systems research commission at Japan's Liberal Democratic Party, Kozo Yamamoto, said today that the country should create a digital yen in two to three years. Reuters reported on Feb. 10 that Yamamoto said that plans for its central bank digital currency (CBDC) should be included in the government’s mid-year policy guidelines. He explained that digital currencies could quickly spread in emerging economies and help China — who is working on a CBDC — advance its digital hegemony. Because of …
Blockchain / Feb. 10, 2020
What is the global financial crisis and its impact on the global economy
When the financial system or the economy as a whole undergoes a rapid and large decline, it is said to be in a financial crisis. Financial assets like stocks, bonds, and real estate often see a sharp and significant decline in value during financial crises. They can also be identified by a decline in credit availability and a loss of faith in financial institutions like banks. Related: DeFi vs. CeFi: Comparing decentralized to centralized finance Financial crises can be caused by a variety of factors, including: Overleveraging: When people, businesses, and governments take on excessive debt, they put themselves at …
Adoption / Feb. 5, 2023