Month #4 Steem Crypto Challenge: The future of cryptocurrency in the Middle East and specially Turkey.
There are a lot of ideas on the future of cryptocurrencies. We cannot know exactly which of these is logical or valid. Because anyone involved may have an idea. And everyone's ideas are good for themselves.
Today I want to tell you about the future of benchmark money in the Middle East. First of all, I think it is necessary to get to know the Economy of the Middle East. In this map published by the Visualcapitalist.com website, we see what the economies of the Middle Eastern countries are mostly. We can see which products the Middle East countries mostly import.
Of course, not all the countries we see on the map are Middle Eastern countries. Most of these countries are countries that export oil or natural gas. In other words, most of the country's economy is focused on oil or natural gas. Especially almost all of the Arabian Peninsula is oil or gas exporter. Those who are interested in the stock market and shares or those who do this job, ARAMCO, the Saudi Arabian oil company, is one of the most valuable companies in the world. ARAMCO's market value exceeded $ 2 Trillion in the past weeks.
Although Israel, another country we see on the map, exports oil and natural gas, these products do not cover a large part of its economy. Software and electronic materials cover most of the Israeli economy.
Turkey is one of the countries with a variety of exports. Turkey, a large part of the exports of textile products and food. even a part of the fabric and cotton als Turkey from abroad, process and sell again. Turkey when it comes to our mind we call tourism. Turkey's tourism industry truly advanced and comprehensive. Here, we call tourism industry without flues. A large part of the Turkish economy is tourism, clothing, food and car production. Turkey 'will also be exported to close to a million cars each year. These cars are the cars produced here by companies such as Fiat, Ford and Toyota.
In fact, the most important question is which country can spend how much money on cryptocurrency. We all know that cryptocurrency requires software knowledge and money. Money abounds in oil-rich Middle Eastern countries. The software is available in Israel.
In particular, the United Arab Emirates and I want to be an article about Turkey. In this picture, we see that both countries are interested in cryptocurrencies and blockchain system. Yes it curious that there are other countries, but especially in the United Arab Emirates and Turkey is striving to thrive in this regard.
The future of cryptocurrency in the United Arab Emirates:
Among the Arab countries, the United Arab Emirates has already begun to prepare for the world leadership in cryptocurrency. The United Arab Emirates government wants to perform most of the costly transactions such as visa renewals and license renewals in an electronic environment. In this way, they calculate that they will save 11 billion dollars a year. In addition, they want to continue some of the interstate transactions with Blockchain technology. A research company authorized by the government is conducting detailed researches, especially in Dubai, United Arab Emirates. The reason for these studies is to understand whether cities in the country are suitable for Blockchain technology. In this way, they are thinking of increasing the use of cryptocurrencies.
How can a country become a world leader in cryptocurrency?
There are many different answers to this question. But I would like to say one of these answers. When the prevalence of cryptocurrency increases in a country, world leadership comes in this regard. I know this answer was a bit complicated and short. I would like to explain:
If cryptocurrencies are used for shopping, trade, supply, export and import (you can read my article on the use of cryptocurrencies in shopping) instead of making money on the stock market, new companies will emerge in that country on cryptocurrency. These companies collect data on the public's use of cryptocurrencies. Thanks to this data, companies get stronger and start to get better. Companies that get stronger and have experience start to operate in other countries around the world. The government of the United Arab Emirates is aware of this that it is trying to popularize blockchain technology in the country. It is a step in making some of the transactions between states with blockchain technology. We will see what happens as a result of this step as time goes on.
There is currently no local cryptocurrency exchange in the United Arab Emirates. United Arab Emirates citizens invest in cryptocurrencies on exchanges such as Binance and Bittrex. The United Arab Emirates issued a cryptocurrency called "Onegram" about 3 years ago. I don't know if Onegram has its own blockchain. Maybe it could be an ERC-20 based smart contract. Onegram is a cryptocurrency indexed to gold reserves in the Central Bank of the United Arab Emirates. The government wants to prevent speculation by indexing this crypto money to gold. Actually, this is a smart move.
In the United Arab Emirates, there is not only Onegram as a cryptocurrency but also a crypto called Habibi Coin. Habibi Coin, on the other hand, we can say that Habibi Coin is a little different in terms of usage. Habibi Coin creators are considering making this cryptocurrency available for home purchase.
The future of cryptocurrency in Turkey:
Turkey in contrast to the fact that slightly more common use of Blockchain and cryptocurrency known. Cryptocurrency on the fact that Turkey is not a country chooses to development was also on the chain block more than we can say. One of the biggest examples of this is Borsa Istanbul's (BIST) database development with block chain support. This database is already being used for customer records. Another example was a university-wide example. A department was opened in Bahçeşehir University to develop block chain and to find errors. I don't know exactly if this is an episode. I read this on the news.
Turkey's Directorate of Religious Affairs announced earlier due to the possibility of using crypto as the evil deeds of money laundering is not in accordance with Bitcoin. We do not know whether it's really appropriate that period but also in Turkey decreased very slightly to the use of Bitcoin. Turkey's currency such as Bitcoin kritpo people generally use to save and invest money. I guess because of this, the use of Bitcoin has not declined as expected. According to a report on the Cointelegpraph.com website:
"In light of this research has the money people crypto over 2,400,000 in Turkey as of 2020. Most heavily invested 5 crypto currency in Turkey Bitcoin (BTC), Ripple (XRP), Digibyt to (DGB), Bitcoin Cash (BCH ) and Stellar (XLM)." Source.
In Turkey, about two and a half million people have money own cryptographic information can not be ignored, I think. I'm not that good at calculating odds, but this number is equal to ten percent of the country's population. Turkey's crypto money is really very curious to humans. But most people see Bitcoin much more secure and logical than other cryptocurrencies. I think one of the reasons for this is that Bitcoin is the first crypto money in the world. In addition, the fact that it once quickly went up to $ 19,000 makes Bitcoin an attractive investment tool.
I think cryptocurrencies should not be an investment tool. I think that cryptocurrencies that are stable in terms of price should be for general use, not investment. Some of these are US dollar indexed cryptocurrencies such as USDT, USDC and SBD. Although their prices fluctuate, these cryptocurrencies are ultimately indexed to $ 1. But now the magic of people is using USDT and USDC for other things than for things like shopping. For example, to earn interest on exchanges like Binance.
The Turkish government is not against crypto money. They'll probably tax it, but I guess it's a bit complicated. Because there are about 8000 cryptocurrencies and they are all different from each other. In general, I think the taxes that will be charged to someone who uses Bitcoin and someone who uses Ripple should not be the same. Or there may be a percentage tax on purchase. I think the government supports blockchain. I told you about the department they opened at the University. Perhaps thanks to this section, we can produce successful cryptocurrencies such as Bitcoin or YFI. I want this so much.
In Turkey, the United Arab Emirates' in contrast there are a few crypto-currency exchange. The best known of these are BtcTürk and Paribu. BtcTürk is a crypto currency exchange launched in 2013. In fact, BtcTürk started operations much earlier than many Crypto Money exchanges. This is what I always like. Yes, in Turkey people not keen on too large a portion of the money but have more crypto crypto currency exchange operations in the country. And these exchanges are not low volume exchanges.
BtcTürk had a break when its partnership with banks ended, but then returned to the crypto money market thanks to Paribu. BtcTrader is the name of another crypto currency exchange owned by BtcTürk. BtcTürk is using it to serve crypto enthusiasts abroad. So we can say that; btctürk used for Turkey. BtcTrader is used for foreign countries.
Do you have a positive or negative outlook for the future of cryptocurrencies?
There are currently more than 8000 cryptocurrencies. Some of them have their own blockchains such as Bitcoin, some have ERC-20-based cryptocurrencies and a TRC-20-based cryptocurrency. It's a little different and strange to think of a future for so many cryptocurrencies. But I know that some cryptocurrencies will go completely bankrupt soon. Because sometimes there can be a lot of volatility in the market. For example, whenever the Bitcoin price rises, people sell Altcoins and buy Bitcoin. Yes, this is a much more profitable situation on a percentage basis. But in general, it is harmful for Altcoins.
DeFi projects should not be forgotten. Steem's value is around 23 cents while it is around 17 cents. We don't know exactly what is the biggest reason for this, but I think it is DeFi. People sell other Altcoins in their hands to participate in new projects and earn money. This is another situation that causes the price of Altcoins to decrease. But there is something we should see here. DeFi projects can affect the popularity of Bitcoin. Because according to my observations, people used to give up Altcoins for Bitcoin, now it is for both DeFi projects and Bitcoin.
There is something we need to know; If most of the altcoins go bankrupt, the value of Bitcoin can rise too much. Because most of the people who want to use or invest in crypto money will want to use Bitcoin. Or the value of Bitcoin may also go down. If so many Altcoins fall in value, this can cause people to panic. With this panic, people can switch fiat coins in cryptocurrencies again.
The future benefit of cryptocurrencies for society and mass adoption:
Cryptocurrencies will really benefit the conscious societies and smart people. Especially smart people know the value of cryptocurrencies and will learn much more in the near future. Probably, blockchain technology, not cryptocurrencies, will become much more popular in the future. Transactions on the blockchain can be confirmed 24 hours a day, 7 days a week. This means continuity and speed.
The most important criterion people look for is cheapness. Fees are much lower in blockchain than banks. This is a logical option for people to use blockchains. All the features that will make a currency popular and useful in the future are in the blockchain. Also, safety cannot be ignored. Those who follow the news or prices about Bitcoin know the wallet of 69 thousand bitcoins. And they know that the password for this wallet still cannot be cracked. Quantum computers are proposed to crack this code, but it seems that quantum computers seem unable to decipher this code.
Those who research the long-term use of cryptocurrencies and research statistics may think this may be harmful. Yes, it is quite normal for them to think like that because very few people are currently using cryptocurrencies as a payment method. This is because the price of very popular cryptocurrencies like Bitcoin and Ethereum is constantly changing. Yes, this was born, especially the price of Bitcoin is constantly fluctuating. But cryptocurrencies like Bitcoin and Ethereum should be used for investment, not for payment. We can think of fiat money and stocks as similar to cryptocurrency and cryptocurrency exchanges.
It makes much more sense to use a cryptocurrency indexed to any fiat currency as a payment method. For example, USDT is much more logical and safe than Eth or Btc.
A person who wants to use cryptocurrency for shopping or supply may find it difficult to open the mobile application on his phone and then enter the wallet address and send the money. Therefore, a system similar to the bank accounts and debit cards for fiat money we currently use should be used for cryptocurrencies. Otherwise, people may not want to send money from mobile applications or exchanges. There is a shortcut to this, after all. You can find much more information about this in the "Steem for investment, SBD for shopping" post.
Thank you for everything.
@steemitblog
@steemcurator01
@steemcurator02
Congratulations you are one of the winners of the Steem Crypto Challenge Month...
Thank you for taking part
The Steemit Team
Thank you too. @steemcurator01 @bestofindia @yura77 @auelo
I told all my ideas in this post. I wish people comment. Because I am very curious about how people will react to my ideas. I think that comment is really important on this platform. Because only then can we understand that people are reading our articles.
Thank you again for your support. Regards.