Turkey's Draft Crypto Regulations Ready for Parliament

Last update:

May 13, 2024 02:54 EDT
| 1 minute reading

Turkish lawmakers are reportedly set to submit a crypto regulation bill to parliament this week.

Local point of sale Sabah Daily reported On Sunday, the chairman of the Development and Justice Party (AK Party) held a meeting to conclude preparations for the bill.

The proposed regulations aim to reduce risks for those dealing with cryptocurrency. These also aim to bring cryptocurrency trading platforms under the control of the Capital Markets Board (SPK). The SPK would then issue licenses and supervise these platforms.

Other areas of regulation include how platforms store customers’ cash and the crypto penalties that apply for rule violations. The specific rules for operating these platforms will be decided later. This will be done through additional regulations that will be created separately.

Turkish crypto regulations aim for security, licensing and global recognition

Earlier this year, Turkish Finance Minister Mehmet Simsek said the country crypto regulation was in its final stages. He added that they aim to reduce the risks of crypto trading and establish licensing and operating standards for trading platforms.

An added benefit is that they could help Turkey improve its position against Financial Action Task Force standards.

Nigeria and Turkey Lead Global Crypto Adoption Race

A recent study by Statista found that Nigeria and Turkey in the lead in terms of crypto adoption and proportion of cryptocurrency owners among 56 countries as of February 2024. In both countries, 47% of internet users reported owning or using cryptocurrency.

Interestingly, the study also found that the North American and European countries surveyed were significantly behind in terms of crypto adoption rates.

Nigerians and Turks are turning to crypto for reasons including economic hardships such as high inflation, weak currencies, and limited access to banks. They also see crypto as a hedge against inflation and currency devaluation and that it can provide greater financial accessibility and inclusion through the global crypto market.