As a geomantic treasure with strong demand for cryptocurrency, as Turkey's cryptocurrency regulatory framework gradually becomes clearer, crypto companies led by exchanges have also successively submitted applications for operator licenses, which is expected to inject huge vitality into the country's crypto market.
Türkiye’s Crypto Regulation Clears Up
The "Capital Market Law Amendment" passed by the Turkish Parliament in June this year and came into effect in July has attracted widespread attention in the crypto industry. The country's Capital Market Board (CMB) emphasized that the content has been established for Turkey's crypto asset service providers. established a preliminary regulatory framework. Specifically include:
The CMB is designated as the regulatory body for the crypto industry and has the power to authorize operations, supervise, sanction and take measures.
Establish criminal liability for criminal activities such as unauthorized operation of encryption businesses, misappropriation of user assets and fraud.
Trading platforms need to establish a monitoring system to identify, prevent, limit and report market manipulation and security incidents.
Currently, even though there is a lack of a comprehensive cryptocurrency regulatory system, Turkey’s current regulations still have a certain regulatory power on the market, including the country’s central bank prohibiting the use of cryptocurrency payments and the Financial Crimes Investigation Commission (MASAK) collecting KYC data on exchanges to maintain Requirements for anti-money laundering measures, etc.
However, Turkish Finance Minister Mehmet Simsek also revealed earlier this year that a more comprehensive encryption regulatory bill has reached the final evaluation stage, and will reportedly provide services to "crypto wallets, crypto asset service providers, crypto asset custodians" and other industries. Clear source of law to follow.
Crypto business operator license applications surge
As a complete encryption regulatory framework is about to be introduced, encryption companies from various countries have also begun to express interest in the Turkish market, which is expected to bring strong power to the country's encryption economy.
The list of encryption business operators recently released by the CMB shows that 76 encryption companies have applied for encryption business licenses under the new law.
Specifically, including well-known exchanges and many financial technology companies:
Binance TR
BINGX TR
Bitfinex
Coinbase
Crypto.com
Kucoin TR
GateTR
OKX TR
Backpack
The committee also emphasized that companies currently included in the "operator list" do not mean they are authorized. They must still seek formal approval from the CMB after the final bill is passed.
The adoption of high encryption in Türkiye has become a battleground for exchange strategists.
According to data from data analysis company Chainalysis, Turkey is the fourth largest cryptocurrency market in the world, with total transaction volume reaching US$170 billion in 2022, second only to the United States, India and the United Kingdom.
The company has also previously mentioned that Turkey is also the country with the highest proportion of stablecoin purchases in the world as a share of GDP, reflecting the widespread and growing reliance on cryptocurrencies in many countries with devalued fiat currencies, including Turkey, Georgia and Nigeria:
Stablecoins play an important role in promoting financial inclusion, not only providing basic financial and economic participation, but also providing a consistent store of value, especially for countries with economic instability and devaluation of fiat currencies.
It is reported that severe inflation has made the country’s legal currency lira once become Binance’s largest legal currency trading pair, accounting for 75% of the exchange’s total legal currency trading volume last year.
(Binance Research｜Up to 40% of Türkiye’s population holds crypto assets)
This article is a treasure land with a trading volume of 100 billion US dollars! The Turkish crypto framework is about to be launched, and exchanges are scrambling to submit license applications. The post appeared first on Chain News ABMedia.