Turkish Takasbank Launched a Blockchain Project for Digital Gold-Backed Assets

Takasbank, Istanbul Clearing, Settlement and Custody Bank announced the launch of a blockchain-based transfer system. BiGA Digital Gold, first announced in September 2019, allows participating banks to use the blockchain to transfer digital assets representing physical gold. Each asset is a gram of gold held in the vaults of the Borsa Istanbul Stock Exchange (BIST). Takasbank employees commented on the innovation:

"This platform distinguishes itself from many similar projects in the world by allowing the use of blockchain technology to transfer digital assets based on physical commodities, not having any value of its own, and ensuring full compliance with existing regulations."

Takasbank launched the BiGA Digital Gold platform with the participation of several Turkish financial institutions, including both private and state-owned banks. Takasbank is the central clearing and settlement structure in Turkey, which also provides central counterparty clearing services for specific BIST markets designated by the local financial regulatory and supervisory agency, the Capital Markets Board of Turkey.

Following the announcement of plans to create a national blockchain infrastructure in Turkey, there has been a steady increase in blockchain projects. In the 2020 annual presidential program, Turkish President Recep Tayyip ERDOGAN said that this year the government will complete testing of the “digital lira” based on the blockchain.

Image courtesy of Anadolu Agency