Turkish Crypto Market Activates as Coinbase and KuCoin Apply for Licenses
Date: 2024-08-19 Author: Henry Casey Categories: IN WORLD
The wave of new applications comes after recent regulatory changes introduced by the Capital Markets Board of Turkey (CMB), which now requires crypto companies wishing to operate in the country to apply for licenses.
On August 9, the CMB announced that 47 crypto companies had applied for licenses under the new regulatory framework.
However, that number quickly increased to 76, with established companies like Coinbase, KuCoin, and Gate.io joining the process.
Binance, Bitfinex, and OKX have already applied for licenses
Established players like Binance, Bitfinex, and OKX have already participated in the process.
Despite the growing list of applicants, reflecting the heightened interest in the Turkish crypto market, the CMB has made it clear that inclusion on the “List of Active Companies” does not mean official approval.
Each company must receive formal approval from the board, which is contingent on the passage of secondary legislation.
The CMB will continue to update the list as companies address regulatory gaps or as board assessments are completed.
The regulatory environment for cryptocurrencies in Turkey remains in a state of evolution.
While comprehensive crypto legislation has yet to be finalized, existing regulations already govern market activity.
In January, Turkey’s Minister of Treasury and Finance Mehmet Simsek said that local crypto legislation was nearly complete, but the anticipated bill has yet to be submitted to parliament.
Despite this regulatory uncertainty, companies continue to seek licenses, demonstrating industry optimism and highlighting Turkey’s strategic importance in the global crypto market.
The surge in applications follows the enactment of the “Amendment to the Capital Markets Law” on July 2, which was designed to create a regulatory framework for crypto asset service providers in Turkey.
Turkey is ranked 4th in the global crypto market
It is worth noting that Turkey has significant influence on the global crypto scene.
The country ranks fourth in the world in terms of cryptocurrency transactions with an estimated trading volume of $170 billion, ahead of well-known markets such as Russia, Canada, Vietnam, Thailand, and Germany.
Earlier this year, Turkey’s largest cryptocurrency exchange, BtcTurk, was hacked, resulting in the theft of $54 million.
BtcTurk said in a statement that the cyberattack occurred on June 22, 2024, resulting in unauthorized withdrawals.
The hack affected only a portion of the balances in hot wallets of ten cryptocurrencies, while most of the assets stored in cold wallets remained safe.
