Turkey’s cryptocurrency sector is set for expansion as local and international firms rush to apply for licenses under new regulations. The Turkish Capital Markets Board (CMB) has reported that 47 companies have sought licenses since the implementation of the “Law on Amendments to the Capital Markets Law” on July 2. Among these are notable exchanges like Bitfinex, Binance TR, and OKX TR, though major players such as Coinbase, Bybit, KuCoin, MEXC, and Gate.io have not yet applied.
The new law aims to establish a regulatory framework for crypto asset service providers in Turkey. The CMB noted that three companies have declared liquidation, while applications with incomplete information are still under review. Inclusion in the initial list of applicants does not signify official approval; companies must receive formal authorization from the CMB following the completion of secondary legislation.
Despite the absence of comprehensive crypto legislation, Turkey has existing regulations. The Central Bank of Turkey’s 2021 rule prohibits cryptocurrencies like Bitcoin from being used as payment. Additionally, Anti-Money Laundering regulations, enforced by the Financial Crimes Investigation Board, require exchanges to implement Know Your Customer procedures.
Turkey’s proactive approach to cryptocurrency regulation reflects its significant role in the global crypto market. With an estimated trading volume of $170 billion, Turkey ranks as the fourth-largest crypto market worldwide, surpassing major markets like Russia and Canada. The current surge in license applications highlights Turkey’s growing importance and commitment to developing a regulated and secure cryptocurrency sector.
Featured image from: cointelegraph.com