Coinbase, one of the world’s leading cryptocurrency exchanges, has decided to withdraw from the Turkish crypto market and begin winding down its local operations. This step comes just three months after the company withdrew its application to Turkey’s financial regulator. This development suggests that Coinbase wants to avoid the difficulties it has experienced with local regulations.
Why Did Coinbase Withdraw from the Turkish Market?
According to local reports, the Capital Markets Board of Turkey (SPK) updated its liquidation list last week. The list reveals that Coinbase has withdrawn its application and is entering the liquidation process. In addition to Coinbase, 14 other companies have filed similar liquidation applications. 77 companies are still in the application process. Platforms such as Binance, KuCoin, and OKX are other notable names in this process. Binance and KuCoin ended their marketing activities for Turkish users by removing the Turkish language option last September. The cryptocurrency exchange stated that these decisions were made in order to comply with regulations in Turkey. Bloomberg analyst Sevcan Ersözlü commented on the matter as follows:
“Yapı Kredi Bankası’s Crypto Asset Custody Application has been added to the CMB’s Custody List. However, it is quite remarkable that Coinbase has abandoned its plans to enter Turkey.”
Changes to Coinbase’s International Strategy
Coinbase has decided to end USDC interest rates for its users in Europe. The company based this move on the European Union’s Market in Crypto Assets (MiCA) regulation. In addition, Coinbase announced that it will stop trading Wrapped Bitcoin (WBTC) as of December 19, 2024. The company stated that this decision was made after an internal compliance review. During this process, Coinbase’s cbBTC token has achieved significant success in the field of decentralized finance. However, the WBTC team expressed its dissatisfaction with the delisting decision. Users criticized Coinbase’s competitive strategy, arguing that the company was taking unfriendly steps in the market.
Giant Cryptocurrency Exchange Shapes Crypto Policies in the US
Coinbase continues to shape crypto policies in the US despite the changes in global markets. The company’s CEO Brian Armstrong held talks with former US President Donald Trump about possible pro-crypto staff appointments. Armstrong drew attention by recommending Hester Peirce to replace SEC Chairman Gary Gensler. Gensler announced his resignation in November and his term ends in January. Meanwhile, Coinbase’s global app ranking rose to ninth place in November. This increase, which was also driven by the rally in Bitcoin prices, indicates that retail investors are increasingly interested in cryptocurrencies. This interest could increase trading volume and support adoption across the market.