Rising inflation rates and falling purchasing power still cause headaches for the Turkish people, who are now turning to new and less regulated ways to protect their wealth. Even mainstream media companies have noted Turkish crypto investors’ interest in assets like stablecoins as a hedge against inflation.
So, crypto exchange KuCoin has compiled a report on the economic situation in Turkey and which crypto exchange users in Turkey seem to prefer.
Otto-MAN is the last remaining position
When Lira Collapsed, KuCoin Report Shows That Turkish Crypto Investors Using Its Exchange Chose Bitcoin [BTC] and Tether [USDT]. This has been a trend since 2019, according to the exchange. The appeal of the king coin is easy to understand and stablecoins seem like a logical choice in times of currency volatility. However, the winning asset is definitely Bitcoin.
The exchange also stated,
“KuCoin is also gaining popularity cryptocurrency exchange recognized by the Turks and we see our Turkish investors actively participating in the listing of new crypto gems on KuCoin in search of high return on investment, FLUX, XCAD, ARA, to name a few. ”
However, the Turkish regime is well aware of its crypto-savvy population – with more than 5 million reported crypto exchange account holders. Plus, a draft of a cryptocurrency bill could appear within the day.
Furthermore, there are already signs that regulatory actions will be stringent. One example is Turkey’s Financial Crimes Investigation Board (MASAK) which fined crypto exchange Binance Turkey around $750,000 for allegedly not complying with their KYC and AML laws.
Time to HODL?
All said and done, one thing many investors might be wondering is whether Bitcoin is the inflation hedge that Turkish crypto investors seem to feel. After all, the king coin is trading at $42,788.17 at press time and the market is in a state of extreme fear.
On the other hand, Glassnode data shows that the amount of Bitcoin HODL lost or lost has hit a one-year high. If more BTC is HODLed than lost, it could indicate that investors are keeping their assets locked up. In other words, fewer and fewer investors are looking for cash with their Bitcoins, and they’re waiting for things instead.
📈 #Bitcoin $BTC The amount of HODL or coins lost just hit a 1-year high of 7,279,693,560 BTC
View index: https://t.co/dJK8rxBVD3 pic.twitter.com/Fum1og2g21
– glassnode warning (@glassnodealerts) January 14, 2022
At the same time, more Bitcoins have joined the exchange than there were left on January 15, indicating that selling has not yet come to a complete standstill.
📊 Daily online exchange stream#Bitcoin $BTC
➡️ 1.3 billion dollars in
⬅️ Out of $ 1.1 billion
📈 Net Flow: +216.5 million dollars# Ethereum $ ETH
➡️ $ 540.6 million in
⬅️ Out of $ 663.7 million
📉 Net Flow: – 123.1 million dollars# Tether (ERC20) $ USDT
➡️ $625.2 million in
⬅️ Sold out $ 704.0 million
📉 Net Traffic: – $78.8Mhttps://t.co/dk2HbGwhVw– glassnode warning (@glassnodealerts) January 15, 2022