Jeff Fawkes is a seasoned investment professional and a crypto analyst. He has a dual degree in Business Administration and Creative Writing and is passionate when it comes to how technology impacts our society.
Local businesses and officials keep asking the highest powers of Turkey whether they will legalize the use of cryptocurrency. The CMB finally gives its answers, and they’re not very optimistic.
The issue of regulation for Bitcoin in Turkey is believed to be just a matter of time. Turkish regulators, the Capital Markets Board, want to take a deep look into what cryptocurrency exchanges are doing. The risks of regulating this industry are big, but the government will try to control everything. Despite the cash is as useful among criminals as cryptocurrencies, the regulators want to impose hardcore checks on crypto transactions taking place in Turkey.
Considering the anonymous nature of many top cryptos, the new set of laws will have to touch a broad area of technical things and terms. Otherwise, the holes in the regulatory framework will allow the hackers and ICO scammers to continue their dark operations by using a set of blatant workarounds. Interestingly, the government is pursuing the terrorists an money launderers first. As for the small ICO scammers, the regulation is not clear and people should keep performing due diligence by themselves.
Turkey is the Country of Crypto Traders
According to BeInCrypto Turkey, the economic conditions and volatility of the local currency cause people to extensively trade Bitcoin and altcoins. In Europe, most of the countries cannot show the same trading activity: over 45% of the whole population is using cryptocurrencies. At the same time, only 25% of the European population is using the ‘sin money’.
Regulators often look at the cryptocurrency trading volumes as to the tool to determine whether imposing taxation is profitable. LocalBitcoins trading volumes in the U.S., Russia, United Kingdom, Japan, Italy, show that many people conduct trades, but not many of them pay taxes.
Cryptocurrency enthusiasts often think that they are part of some virtual revolution against the all-seeing control. They trade cryptocurrency and report to authorities only in case some ICO scammers took their money.
Authorities Should Use Crypto for Education, Not Taxation
Bankers always cheat with money and their management efforts lead to one collapse after another. Bitcoin acts as a new form of money, not just another centralized payment processor or currency. The more financial lies see light, the more of the young Turkish people consider using alternative systems.
The classic cryptos, the stablecoins, and the derivatives are powerful financial tools. In the right hands, cryptocurrency could be used not only to fill the state budgets but to reorganize youth. It’s a pity that the government is not looking into the ways of educating people with the apps give by the crypto community. It consists of programmers, teachers, philosophers, not criminals. The governments can show their intent to boost information circulation in society. It can give control over money to the Turkish computer science students and technical university professors, for instance.