Originally published on: August 18, 2024
The Turkish crypto landscape witnesses a dynamic shift as industry leaders like Coinbase and KuCoin vie for regulatory approval in the country, marking a pivotal moment for the burgeoning sector.
Regulatory Updates Driving Crypto License Applications
In response to regulatory updates by the Turkish Capital Markets Board (CMB), a significant wave of cryptocurrency companies have rushed to apply for licenses in Turkey. Initially, 47 companies sought licenses under the new regulatory frameworks announced by the CMB on Aug. 9. This number has now grown to 76, with big names including Coinbase, KuCoin, and Gate.io joining the fray.
Noteworthy players like Binance, Bitfinex, and OKX were already in the application process, showcasing Turkey’s emergence as a pivotal hotspot for crypto activities.
Clearing Misconceptions: The Road to Official Authorization
While being on the “List of Those in Operation” is a step forward, it does not grant official authorization. Each company must still secure formal approval from the CMB, subject to the enactment of secondary legislation. The list will see updates as companies address regulatory gaps or as the CMB wraps up its assessments.
Turkey’s Evolving Crypto Regulatory Environment
Although Turkey awaits a comprehensive crypto regulatory framework, prevailing regulations monitor market operations. Despite the regulatory uncertainty, the optimism within the sector is palpable as companies press on with license applications, underscoring the country’s strategic significance in the global crypto scene.
Paving the Way: New Legislation and Market Rankings
The enactment of the “Law on Amendments to the Capital Markets Law” in early July was a catalyst for the recent surge in license applications. This law seeks to establish a regulatory structure for crypto service providers in Turkey.
Chainalysis data positions Turkey as the world’s fourth-largest crypto market, with an estimated trading volume of $170 billion, outpacing major markets like Russia, Canada, Vietnam, Thailand, and Germany.
Turkey’s forward momentum in the cryptocurrency sector, coupled with its dedication to creating a regulated and secure market, is underscored by the flurry of license applications, heralding a new era for crypto activities in the country.
