Turkey's central bank announced on April 16th, 2021 that it was banning the use of cryptocurrencies, including Bitcoin, for payments within the country. The ban was based on concerns about the lack of regulation and potential risks associated with cryptocurrency transactions, such as fraud, money laundering, and terrorist financing. The bank stated that crypto-assets were not subject to any regulation or supervision mechanisms, and that the use of cryptocurrencies for payments could cause non-recoverable losses for the parties involved.

The ban does not prohibit individuals from holding or trading cryptocurrencies, but rather restricts their use as a means of payment. The central bank also stated that it was working on a digital currency project that would be regulated and overseen by the government, with the aim of providing a safer and more reliable payment method for Turkish citizens.

The ban on cryptocurrency payments in Turkey was met with criticism from some in the cryptocurrency community, who argued that it could stifle innovation and development in the sector. However, others noted that the ban was not unexpected, given the Turkish government's history of cracking down on financial transactions it deems risky or destabilizing.