The Turkish lira has experienced so far an 80% decline, largely and allegedly due to President Erdogan’s economic policies. As a result, Turkish residents are turning to digital currencies, particularly the Tether (USDT) stablecoin, to protect their finances from inflation.
Reports indicate that Turkish residents’ interest in USDT has surged, with many viewing it as a safe haven amidst the lira’s rapid depreciation. This trend was observed in May, before the country’s recent elections, and has continued to gain momentum.
Read more: What awaits Erdogan, Turkish lira, in his new term?
President Erdogan, who has been a vocal critic of cryptocurrencies, has not deterred Turkish residents from investing in USDT. Despite the country’s government crackdown on the stablecoin, the lira’s poor performance and the absence of government intervention have led many to prioritize USDT.
The Central Bank’s failure to intervene and strengthen the lira has resulted in an 11 percent decrease against the U.S. dollar in the past week alone. President Erdogan’s strategy to curb inflation by cutting interest rates has also raised concerns among investors.
As the lira continues to lose value, Turkish residents are looking towards digital currencies to protect their assets. While Bitcoin and Ethereum are popular among investors globally, the Tether stablecoin appears to be the preferred choice for Turkish residents seeking stability and security amid economic uncertainty.
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