Central Bank of the Republic of Turkey (CBRT) has brought an end to its first trial of central bank digital currency (CBDC), the Digital Turkish Lira, and aims to continue with its trials in 2023, as reported by Cointelegraph.
According to Cointelegraph, on December 29, 2022, CBRT stated that it successfully completed its “first payment transactions” through the digital lira. It is believed that the central bank authority will continue executing limited, closed circuit pilot tests with technology stakeholders for Q1, 2023, before expansion to certain banks and financial technology (fintech) companies in the rest of the year. The inputs of these tests are expected to be shared with the public using a “comprehensive evaluation report,” before revealing more in the upcoming phases of the study to ensure more participation.
On the basis of information by Cointelegraph, in September, 2021, Turkish central bank made the announcement of exploring benefits around a digital Turkish Lira’s introduction, in a research project called “Central Bank Digital Turkish Lira Research and Development.” During that period, the government didn’t make a commitment towards digitalisation of the country’s currency.
Recently, CBRT highlighted that it’ll proceed further with distributed ledger technologies’ testing in payment systems and their “integration” into instant payment systems. The financial authority also intends to focus on legal aspects around the digital Turkish Lira, such as “economic” and “legal framework” around digital identification, in addition to technological requirements.
Moreover, Cointelegraph noted that countries such as United Kingdom and Kazakhstan have started piloting CBDCs.
(With insights from Cointelegraph)