Examining the relationship between cryptocurrencies and traditional payment instruments

Today, in addition to traditional payment instruments such as Gold, Euro, Dollar, and traditional investment instruments such as stocks, bonds, and bills, cryptocurrencies have emerged, and their use is increasing daily. Cryptocurrency; It is a virtual currency created with a cryptography system without being tied to a central authority. It can be used as a payment tool to purchase goods and services and is held for investment purposes. Through econometrical tests, this study aims to reveal the relationship between cryptocurrencies and reliable payment instruments and investment instruments. With the cryptocurrencies exceeding 10,000 in the crypto money market, the market value exceeding 2.5 trillion dollars, and the daily trading volume exceeding 1 billion dollars created, the opinion is that the issue should be examined. In addition, when the finance and econometrics literature is reviewed, it is thought that the fact that there are not many studies on cryptocurrencies and that there is no study on reliable payment and investment instruments among the studies shows both the original side of the research and its contribution to the literature. The study used the secondary data collection method as a data collection tool. The sampling method was chosen as the non-random sampling method, and the five most trading cryptocurrencies in the market and Dollar, Euro, Gold, BIST100, and Oil Prices were included in the study. Fourier Toda Yamamoto causality analysis was used to look at the relationships between the data. As a result of the analysis, it has been determined that there is a causal relationship between Bitcoin and Ethereum to Euro only, and there is no causal relationship between other variables. This may suggest that cryptocurrencies and traditional payment instruments appeal to different usage areas or customer strata or that they operate in foreign markets. The absence of a causal relationship also shows the effect of other external factors or factors such as investors' risk appetite.