In recent times, there have been a number of countries that have announced their plans to develop a national digital currency.
The likes of Venezuela has already made a lot of progress on this front with their petro ICO, whereas others such as Turkey and Iran have talked about their future plans for starting their own cryptocurrency.
Turkey has been a country that has come through a lot of turbulent times in recent years, and there have been changes abound. It has now been reported that politicians in the country are looking at potentially launching their own digital currency.
Turkey Prepares Draft Report for National Cryptocurrency
Al-Monitor reported on February 22 that the ex-Industry Minister and current deputy chair of the Nationalist Movement Party Ahmet Kenan Tanrikulu have put together a draft report that proposes the creation of a cryptocurrency called Turkcoin that would be backed by the state.
There has been little to no details given about the potential technical specifications of this token, but it has been said that asset-backed securities would likely be tokenized as a result of this issuance.
Tanrikulu claims that by doing so, this would mean there would be fewer risks than exist with most cryptocurrencies. This is something that the Venezuelan government did with their national digital currency the petro, which is backed by the likes of oil reserves the state owns.
It is likely in Turkey that this asset basket would be made up of a number of larger companies in the region, such as Turk Telekom, the Istanbul Stock Exchange, and Turkish Airlines.
“Turkey should create its own digital system and currency before it’s too late…”
The politicians in Turkey clearly see how the world is shifting away from traditional fiat currencies and constantly moving closer towards the widespread adoption of digital currencies. Tanrikulu said, “Turkey should create its own digital system and currency before it’s too late.”
He went on to say in this draft that there does need to be a lot clearer regulation when it comes to controlling the crypto markets. He believes that if there is unclear regulation in Turkey, then the digital currency could be used for illicit means.
The comments from Mr. Tanrikulu came only a week after the deputy Prime Minister in Turkey spoke with CNN Turkey about the aim of the government to have a national cryptocurrency launched in the future.
This could prove to be an optimal method of fundraising as well for the government of Turkey. The Venezuelan government have claimed they have managed to raise over $750 million after only a few days of launching their ICO.
The Race for a Digital National Currency
With the likes of Russia and Iran already speeding up their plans to develop their own national digital currencies, it is only a matter of time before it is something that all major governments are doing.
There are of course issues in the countries that are part of the Eurozone, as the European Monetary Union (EMU) will only allow a single currency to be used in these countries. While there is no word on a digital currency for Europe yet, the UK’s central bank has stated it is interested in developing digital tender somewhat akin to bitcoin, as BTCManager reported in January 2017.