Coinbase is planning to purchase crypto exchange BtcTurk in $3.2B contract

Coinbase is planning to purchase crypto exchange BtcTurk for $3.2B: Major United States-based cryptocurrency exchange Coinbase is reportedly planning to purchase BtcTurk for $3.2 billion.

According to Turkish tech media outlet Webrazzi, which cited a Thursday report from Mergermarket, the two exchanges negotiated a price based on the market behavior of the Turkish lira and Bitcoin (BTC), arriving at roughly $3.2 billion. One or both of the two firms have reportedly already signed a term sheet.

The potential acquisition would follow Coinbase CEO Brian Armstrong announcing plans to expand to every country in which the exchange can legally operate. Cointelegraph reported in March that Coinbase was preparing to purchase 2TM, the parent company of Latin America-based crypto brokerage firm Mercado Bitcoin.

Cryptocurrency News: Coinbase is planning to purchase crypto exchange BtcTurk

Cryptocurrency News: Coinbase is also currently hiring a country director for its operations in Turkey. According to the job posting, part of the director’s responsibilities include accelerating the exchange’s “strategic partnerships” in the country. Binance announced on April 14 that it had launched a customer service center in Turkey in an effort to end fraud cases involving crypto.

Launched in 2013, BtcTurk is one of the largest and oldest crypto exchanges in Turkey, sharing the market with its competitor Paribus and others. According to data from CoinMarketCap, the firm has had more than $196 million in trading volume over the last 24 hours. Source:

Cointelegraph reached out to Coinbase and BtcTurk but did not receive a response at the time of publication.

Turkey’s digital future is regulated as crypto and NFTs are regulated

Turkey’s increasing use of digital assets is despite a lack of regulation or taxation regarding cryptocurrencies.

Selva Ozelli is an international tax lawyer and CPA. She writes monthly in her Expert Take column about the intersection of emerging technologies and sustainability.

Turkey, the birthplace of civilization, is slowly digitizing despite high inflation. The volatility of the lira might be correlated to the Bitcoin ( BTC and Ether( ETH) prices.

The TRY/USD exchange rate plunged from 9 to 18.5 Liras per Dollar in the first six weeks of December 2021. It then strengthened to as high as 10 Liras, before falling to 13.87 Liras at the time. This made the currency an extremely volatile asset.

The volatility of the lira was caused by a contrarian interest rate cut by Turkish President Recep Tayyip Erdogan during high inflation and against central bankers’ advice. High inflation tends to devalue cash and drives investors — including major institutional and professional investors as well as top hedge fund managers George Soros – to invest money into cryptocurrencies. 

Coinbase is planning to purchase crypto exchange BtcTurk
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Erhan Kahraman (news editor at Cointelegraph), told me that with inflation exceeding 20%, he expects that there will be a rise in investment in 2021.

The cryptocurrency market crashed in the first week of 2022. Bitcoin and Ether, which had risen 100% and 30% respectively during 2021, entered the bear market territory. Three events were responsible for the crash.

The release of minutes from the December meeting of the United States Federal Reserve was the first event. They suggested that the U.S. central banks would decrease their pandemic-era stimulative and start raising interest rates earlier than expected. The news caused a sell-off in the global stock market that spilled into currency markets. Bitcoin crashed over 40% from its November 2021 high. The news also caused Ether to drop by more than 13% to as low as $3,300.

The second was the anti-government riots that occurred in Kazakhstan. This country is the second-largest Bitcoin mining center which led to the government being ousted. Internet services were also shut down.

The Omicron variant COVID-19 spread quickly worldwide, causing havoc on long-term economic and social development. It also left millions of people ill and overwhelmed healthcare systems already struggling to cope with the cumulative effects of each previous surge. 

Ugur Sahin, a German-Turkish founder of COVID-19 vaccine manufacturer BioNTech, reiterated the notion that people shouldn’t live in constant fear. He also highlighted the fact that the COVID-19 variants have become more manageable and BioNTech is still looking for new strains.

However, the market crash did not shake Turkish investors’ trust in cryptocurrencies as a hedge from a weakening currency and double-digit inflation.

First-ever secure, eco-friendly cryptocurrency

Although Satoshi Nakamoto is often credited with creating the first cryptocurrency, it was Turkish-American Emin gun Sirer, CEO of Ava Labs and co-director of the Initiative for currencies Smart Contracts. He created the first currency in 2003, six-year before Bitcoin’s launch. It was named “Karma” and was built on a proof of work protocol.

Sirer has been working on Avalanche since 2019, an eco-friendly currency that uses a unique consensus mechanism to allow for high transaction throughput.

Sirer explained to me: “Avalanche” is a high-performance and eco-friendly blockchain. It scales hard science and math, instead of expensive, energy-intensive hardware.

The core innovation of Avalanche is that it reduces the communication time between validating nodes. This also lowers the hardware and power needed to protect the network’s many billions in value.

Avalanche, which is also a ‘quiescent protocol’, means that nodes won’t expend energy indefinitely if there’s less activity on the network, as we see with almost all other platforms.

“Nodes will wait until they hear another transaction to transmit and then move quickly toward the next decision,” he said. Read Here Best Business News

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