Türkiye Adopts New Cryptocurrency Regulations
Date: 2024-06-27 Author: Oliver Abernathy Categories: IN WORLD
Major Changes in Cryptocurrency Regulation
The Turkish Parliament has passed a bill giving the Capital Markets Council (SPK) new powers to regulate cryptocurrency transactions. According to the new rules, SPK now has the right to issue licenses for the development, use and sale of blockchain technologies, and also has the ability to apply sanctions to companies operating in the domestic crypto market.
Strict Penalties for Violations
In accordance with the adopted bill, individuals and legal entities face three to five years in prison for carrying out activities in the field of cryptocurrencies without an appropriate license. Fraudulent activities using cryptocurrency can result in penalties of up to 22 years in prison. The introduction of strict penalties is aimed at maintaining order and protecting the interests of investors.
Turkish authorities expect the new bill to help remove the country from the Financial Action Task Force (FATF) gray list. Taking measures to regulate cryptocurrencies helps strengthen financial stability and prevent illegal actions in the digital asset market.
Process of Adopting a Bill
A bill to regulate cryptocurrencies was sent to the Turkish parliament in May 2024 by the ruling Justice and Development Party. The development of the project took into account the recommendations of the relevant departments of the country, which contributed to its successful adoption.
Earlier, several hundred people were detained in Turkey on charges of participating in the local fraudulent crypto scheme Smart Trade Coin STC, which, according to investigators, attracted more than $31 million in investments. The adoption of new regulatory rules is aimed at preventing such incidents and protecting the interests of investors in the Turkish cryptocurrency market.
