Regulation
Cryptocurrency exchange market welcomes new rules
IZMIR
The new legal regulation on crypto assets is an important milestone for all players in the Turkish market, the head of a major digital company currency the foreign exchange market said.
“The licensing requirement will increase the reliability of crypto asset platforms operating in this area by ensuring that they are based on a legal basis,” Binance TR CEO Mücahit Dönmez recently told a group of journalists.
“The new regulation is important to define the general framework. For us, it is extremely important that it is not a restrictive or prohibitive law,” he said.
The Turkish bill to amend the capital markets law was approved by parliament in June.
According to the draft law, crypto-asset service providers must obtain permission from the Capital Markets Board (SPK) before establishing and operating. While the regulatory authority of the ecosystem is given to the Capital Markets Board, the criteria determined by the Scientific and Technological Research Council of Turkey (TÜBİTAK) will be applied in matters related to information systems and technological infrastructure.
“The cryptocurrency adoption rate in Turkey has increased from 16% to 40% in three years. This rate places Turkey fourth in the world in terms of transaction volume and twelfth in terms of cryptocurrency adoption,” Dönmez said.
Binance TR’s daily trading volume is around $250 million, he added.
Members of the crypto-asset and Web3 ecosystem in Turkey gathered at Binance TR organization in Çeşme on July 20-21.
“This meeting shows how open the Turks are to new technologies,” said Rachel Conlan, Binance’s global marketing director.
“A recent survey by Binance Research revealed that nearly 40% of Turkish investors are investing in cryptocurrency due to the high potential of blockchain technology, profitability and ease of tracking,” she said.
“Binance has applied for a license in 18 countries where regulation is mandatory. The same will apply in Turkey,” she added.