Central Bank of Turkey Reports First Payment Transactions on Digital Lira Network

Central Bank of Turkey Reports First Payment Transactions on Digital Lira Network

The Central Bank of the Republic of Turkey (CBRT) has conducted the first payment transactions on the test network of the digital lira. The monetary authority intends to proceed with more testing in 2023 and plans to invite banks and fintech companies to join the trials. Turkey to Widen Participation in Digital Lira Project, Focus on Studying Economic and Legal Aspects

Turkey’s monetary authority has successfully carried out the first payment transactions on the Digital Turkish Lira Network, according to an announcement on Thursday. The operations were executed as part of studies during the first phase of the central bank digital currency (CBDC) project.

The CBRT also said it will continue to perform pilot tests with technology stakeholders in the first quarter of next year, on a limited scale and in a closed-circuit environment. The findings from these tests will be revealed to the public in a comprehensive evaluation report, it promised.

Also in 2023, the Turkish central bank intends to expand the collaboration platform for the digital lira. Selected banks and financial technology companies will be involved and advanced phases of the pilot study unveiled to further widen participation, the regulator detailed, elaborating: Against this backdrop, the CBRT will continue to run tests for authentic architectural setups designed in areas such as the use of distributed ledger technologies in payment systems and the integration of these technologies with instant payment systems.

The bank also emphasized that examination of the legal aspects of the CBDC has shown that “digital identification is of critical importance for the project.” For this reason, the CBRT intends to prioritize studies on the legal and economic framework of the digital lira as well as its technological requirements.

The potential issuing of a “blockchain-based” version of the Turkish lira was first mentioned in President Recep Erdogan’s Annual Program in November, 2019. Two years later, the CBRT deepened research into the matter by establishing the Digital Turkish Lira Collaboration Platform to facilitate the development and testing of the CBDC with technology stakeholders. Tags in this story CBDC, CBRT, Central Bank, Central Bank of Turkey, Digital Currency, digital lira, digital Turkish lira, Lira, payment transactions, Payments, Research, Test, Testing, tests, Trial, trials, Turkey, Turkish

Do you think the Central Bank of Turkey will step up efforts to introduce a digital Turkish lira? Share your expectations in the comments section below. Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration. ECB to Decide Whether to Issue Digital Euro in 2023 FINANCE | 7 days ago Rate Hikes Needed to Reduce Eurozone Inflation Despite Recession, Top ECB Official Says FINANCE | Dec 22, 2022

Image Credits: Shutterstock, Pixabay, Wiki Commons, multitel / Shutterstock.com Previous articleBMW Partners With Coinweb to Develop Blockchain-Based Vehicle Financing Automation and Loyalty Program in Thailand Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItOman to Incorporate Real Estate Tokenization in Virtual Assets Regulatory Framework

Real estate tokenization is set to be incorporated into Oman Capital Markets Authority (OCMA)"s virtual asset regulatory framework. According to an advisor with the authority, the tokenizing of real estate will open investment opportunities for local and foreign investors. Real ... read more.Draft Law Regulating Aspects of Crypto Taxation Submitted to Russian Parliament Privacy-Centric Monero Plans for July Hard Fork, Plans Include Ring Signature, Bulletproof Upgrade Ethereum Foundation"s Financial Report Discloses It Holds $1.6 Billion in Assets, 80.5% Held in Ether Terra"s Algorithmic Dollar-Pegged Crypto UST Is Now the Third-Largest Stablecoin