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Shiba Inu adoption is increasing as the Turkish government becomes more interested in SHIB.
The topic of inflation is constantly being discussed around the world. While the United States continues to fight inflation with interest rate hikes and other measures, countries across the world are working hard to reverse ongoing fiat depreciation. Turkey's current debt problem is a prime example of this; the Turkish lira's value has plummeted in recent years. Fortunately, the rise of cryptocurrency has made it easier for citizens to hedge against these gloomy moments. Turkish citizens are well-versed in this asset class, embracing a hold on cryptos in order to stop losing wealth. Shiba Inu (SHIB-USD) is an example of such a currency. In fact, the token has grown so popular that the Turkish government is seriously considering recognizing it.
There are numerous causes contributing to Turkey's chronic financial crisis. Throughout the 2010s, the country's current account imbalance widened as imports substantially outweighed exports. Furthermore, factors such as tariff price increases in the United States have exacerbated its debt. The lira has suffered greatly as a result of the complicated crisis, which has been influenced by both domestic and external factors. Over the previous decade, Turkey's national currency has experienced tremendous inflation. Since 2016, the lira's inflation rate has risen to a stunning 185 percent.
Fortunately for Turks and anyone suffering from inflation, cryptocurrency has become a simple tool to hedge against volatility. As a result, Turkish people have begun buying cryptocurrency in droves. For obvious reasons, Bitcoin (BTC-USD) and Tether (USDT-USD) have been popular options. Bitcoin is by far the most popular cryptocurrency and has shown to be an excellent long-term investment. Tether, the world's largest stablecoin, is also a secure means to keep one's wealth due to its $1 USD peg.
Acceptance of Shiba Inu is becoming more realistic
However, the Shiba Inu pupcoin is one of the more unexpected ways Turks are hedging against dropping lira values. CoinDesk reported in late 2021 that SHIB was contending with Bitcoin and Tether as one of the most popular trades for Turkish investors. Now, it appears that the administration is ready to move forward with the token.
Turkey's relationship with Bitcoin has a long history of squabbles. The Turkish central bank has been fairly pessimistic on cryptocurrency, advocating for outright restrictions on digital assets. At the same time, President Recep Tayyip Erdoan has been advocating for national crypto acceptance.
While commerce within Turkish borders is more regulated than in other countries, SHIB popularity in the country is growing gradually. Turkish crypto exchanges boosted the token's popularity in January by offering it natively. The government is now interested in the asset; this week, Turkey's finance minister met with a Turkish Shiba Inu influencer to discuss widespread adoption of the currency.
Despite the lack of specifics, the meeting appeared to be extremely optimistic about SHIB adoption. The Turkish government is clearly interested in its citizens' assets and methods to ease the lira's plunging value. SHIB has suffered minor losses as a result of the announcement. The coin is currently down 6%, with a minor reduction in trading volume.
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