RichmondSuper Reports – Turkey Finally on the Road to Bitcoin Regulation

Introduction

Via ZEXPR, Cryptocurrency and particularly Bitcoin are being talked about pretty much everywhere. A lot of investors think of Bitcoin as a perfect tool to become a millionaire overnight, while others refrain from investing money, time and effort in it in an attempt to save themselves from any mess that might lead to. Bitcoin happens to be the most famous of all Cryptocurrencies. When it first came out in 2009, no one was ready to invest in something that had a lot of Question marks. Although many of these questions and associated unknowns are intact, yet the world is experiencing a growing interest of people and investors towards it. 

RichmondSuper Broker, Mr. Richard Walton says that people from all around the globe are rushing to invest in it but investing in bitcoin is not as easy as any other investment because one day it is skyrocketing and another day it is extremely slumpy. All of this volatility and uncertainty is keeping it from reaching the height that it holds the potential of reaching. 

There are a whole lot of other concerns that come rushing to our minds as the thought of bitcoin strikes us. These concerns are the major reason behind the mixed reactions of different states towards the digital token.  The use of bitcoin is all about unregulated transactions, unavailability of any legal recourse if loss happens, decentralization, anonymity fit for use in malpractices such as money laundering and terrorism. Mr. Walton thinks that Many countries also take bitcoin and crypto as a threat to their own currencies and hence have hurried to impose bans on associated activities. It is not only about national security only, many reports and researches have confirmed that bitcoin is one of the greatest environmental pollution contributors. This is said in the light of mining which is a process required for the production of new bitcoin and requires solving complex mathematical calculations that cannot be performed without the aid of highly complex computers. All of these are super energy-intensive and require energy more than that of entire countries such as Australia and Argentina. 

Keeping all these concerns under consideration many countries such as Bolivia, Iran, Bangladesh, China, Denmark and India have adopted an Anti Bitcoin stance.  But there are countries that are ready to adopt, what Mr. Walton calls “New World Currency”, despite the threats. All of these have reached a point where they mutually agree that each country can define their own set of regulations and let people use Bitcoin.  

Where is Turkey in the game?

Just recently, we have heard some weird news coming our way from Turkey which has impacted bitcoin and its holders negatively.  Mr. Walton says these can potentially be the starting point for future Turkish regulations regarding the use and legal status of Bitcoin. 

The CEO of a Turkish Crypto exchange, Thodex. has fled to Argentina taking $2 Billion of investors along with him. Abnormal fluctuations were seen in the company’s account and that is why the forum has been blocked temporarily. Thousands of Thodex users have filed complaints against the CEO in hope of getting their hard-earned money back. They are constantly reporting their inability to log in to their accounts. The Turkish authorities have issued international warrants seeking the arrest of the CEO Mr. Faruk Fatih Ozer. A total of 62individuals from different parts of the country such as Istanbul have been arrested. Just recently, another news came out that Turkish authorities have frozen the accounts of another exchange named Vebitcoin because all their financial activities came to health due to financial strains. 

Mr. Walton said that these two events were more of a wake-up call for the country’s lawmakers. He also pointed out the recent initiative of the Central Bank of imposing a ban on the use of Digital currencies for digital payments. This news is being attributed largely to being the key player behind the recent drop in the price of Bitcoin. 

Central Bank of Turkey

After a series of such events, the Governor of the Central Bank of Turkey came out to say that they are working towards the development of fresh Crypto regulations in a couple of weeks to come. The great news is that the Governor says that imposing a ban on the currency cannot be the solution to “fix” anything. It can be taken from his statement that they do not plan on imposing a ban straightaway. Without providing any further insights he also hinted of him being aware of the huge and alarming sums of money leaving the country through these mechanisms. He has also stated that the new regulations will be more about clarifying the definition of the word Crypto. 

Final Thoughts

Mr. Walton says it is nice to hear that Turkey is not ready to take an extreme position regarding the digital token and their attempts to regulate it and make use of its benefits in a controlled manner are a piece of great news.

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