Turkey revealed new cryptocurrency regulations in late
December 2024, drawing inspiration from international frameworks like Europe’s
Markets in Crypto Assets (MiCA).
According to a document published on December 25 in the
Official Gazette of the Republic of Turkey, transactions exceeding 15,000
Turkish liras (approximately $425) will require users to provide identifying
information to crypto service providers.
Unregistered Wallets Face Stricter Oversight
This measure is intended to address risks related to money
laundering and terrorism financing. For transfers below the $425 threshold,
service providers are not mandated to collect such data.
The regulations will take effect on February 25, 2025. They
also include provisions requiring service providers to verify information for
transactions involving unregistered wallet addresses. Transfers without
adequate sender details may be flagged as “risky,” potentially leading to
transaction suspension or termination of business relationships.
💥 JUST IN: Turkey mandates crypto users to present ID for transactions exceeding $425 pic.twitter.com/nvqwqOwP4n
— Crypto Briefing (@Crypto_Briefing) December 25, 2024
A statement from the legislation noted: “In case sufficient
information cannot be obtained, the issues of not performing the transfer or
limiting the transactions made with the financial institution in question or
terminating the business relationship will be considered.”
Turkey’s Crypto Market Ranks Fourth
Turkey’s crypto market ranks as the fourth largest globally,
with an estimated trading volume of $170 billion as of September 2023,
surpassing markets like Russia and Canada. This activity comes amid growing
local interest in cryptocurrency regulation.
Earlier in 2024, the Turkish Capital Markets Board (CMB)
received 47 license applications from crypto firms following the July
implementation of the “Law on Amendments to the Capital Markets Law.” This law
established a regulatory framework for crypto asset providers.
Crypto Payments Banned Since 2021
Cryptocurrency trading remains legal in Turkey, but using
digital assets for payments has been prohibited since 2021. While the country
does not tax crypto profits, it is considering a 0.03% transaction tax to
support the national budget.
The introduction of these regulations aligns with global
efforts to formalize the cryptocurrency sector. Europe’s MiCA framework, set to
go into effect on December 30, highlights the increasing regulatory focus on
digital assets worldwide.
Binance to Phase Out Turkish Language Option
Earlier, Binance
announced changes to its services in Turkey. The company has been
monitoring regulatory developments in Turkey and expressed support for a
framework to safeguard the crypto ecosystem. To align with local and global
compliance requirements, Binance is making adjustments to its operations, as
reported by Finance Magnates.
Binance.com will remain accessible to users in Turkey, but
the Turkish language option will be phased out over three months. Additionally,
all marketing activities targeting Turkish users will cease entirely.
This article was written by Tareq Sikder at www.financemagnates.com.
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