Mehmet Şimşek, Turkey’s Minister of Treasury and Finance, has revealed some details about the country’s upcoming crypto legislation. The government is set to license trading platforms, provide legal definitions for key terms in cryptocurrency, and adhere to FATF (Financial Action Task Force) guidelines.
Şimşek confirmed that the crypto framework for the Turkish market is currently in the final stages of development, with technical implementation aspects being evaluated. This was disclosed in an interview with the Anadolu Agency on January 10.
The minister emphasized the government’s aim to minimize the risks associated with cryptocurrency trading for regular investors. He stated, “Therefore, we are taking steps to reduce the risks of parties trading with crypto assets in our country, similar to international practices. This is also within the scope of FATF to get out of the gray list.”
The forthcoming regulations will necessitate cryptocurrency platforms to apply for licenses from the Capital Markets Board (CMB) of Turkey. They will also define terms related to cryptocurrency, such as wallets, buying and selling platforms, custody services, service providers, and assets. Şimşek provided an example of the definition of crypto assets: “intangible assets that can be created and stored electronically using distributed ledger technology or a similar technology, distributed over digital networks, and capable of expressing value or rights.”
However, Şimşek noted that the rules do not account for the unique tax code pertaining to virtual assets. Turkish authorities have been contemplating regulating the country’s cryptocurrency sector, focusing on licensing and taxes, to remove the nation from the FATF’s “grey list.”
Turkey’s economic standing has been negatively impacted by its inclusion on the FATF’s grey list. The Turkish economy, which has been grappling with issues including high inflation and being on the FATF’s radar since 2021, needed this initiative to help rebuild confidence.
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| Information | Details |
|---|---|
| Geography | Middle East |
| Countries | 🇹🇷 |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | Mehmet Şimşek |
| Companies | Financial Action Task Force, Capital Markets Board, Anadolu Agency |
| Currencies | Bitcoin |
| Securities | None |
