Turkey Sees a Surge in Crypto Licenses as New Regulations Spark Industry Interest

• Turkey’s new crypto legislation has sparked an influx of 47 license applications.
• 76 crypto exchanges, including Coinbase and KuCoin, have applied for licenses in Turkey.

Turkey has witnessed an enormous spike in interest from crypto companies seeking to enter the industry. The Turkish Capital Markets Board (CMB) has revealed that 76 cryptocurrency firms have sought licenses under the newly adopted legislation. Notable candidates include Bitfinex, Binance TR, and OKX TR. 

Crypto Exchanges Rush to Secure Licenses in Turkey.

This rise coincides with the implementation of the “Law on Amendments to the Capital Markets Law,” which became effective on July 2. The bill establishes a legal framework to control crypto asset service providers in Turkey. Despite the flood of applications, the CMB said that three companies have declared bankruptcy, and some applications are still being reviewed due to missing information.

The Capital Markets Board (CMB) of Turkey reported a significant increase in licensing requests following regulation. Although the most current list of 76 candidates includes well-known names like Coinbase and KuCoin, the application procedure remains tough. The inclusion on the “List of Those in Operation” does not ensure rapid clearance, as the CMB has stated.

It is vital to understand that being listed does not constitute formal authorization. Companies must seek formal clearance from the CMB after resolving any concerns or completing the relevant secondary legislation.

Although Turkey’s unique crypto legislation is still being developed, the sector is not completely unregulated. The Central Bank of Turkey’s 2021 regulation prohibits the use of cryptocurrencies for payments, and the Financial Crimes Investigation Board oversees anti-money laundering measures.

Turkey’s proactive attitude has been demonstrated by its significant role in the global crypto economy, as the fourth-largest market with an estimated $170 billion in trade activity.