Turkey’s Capital Markets Board (SPK) Implements New Cryptocurrency Regulations

• The Turkish Capital Markets Board (SPK) has released an official statement regarding new regulations in the cryptocurrency sector.
• The SPK’s announcement follows the enforcement of new regulatory changes that impact crypto-asset service providers in Turkey.
• According to the SPK, crypto-asset service providers who wish to continue operations must meet specific requirements and submit necessary documentation.

This article explores the latest regulatory updates from the Turkish Capital Markets Board (SPK) concerning cryptocurrency service providers.

Turkish SPK Announces New Crypto Regulations

The Turkish Capital Markets Board (SPK) has issued new regulations aimed at overseeing crypto-asset service providers. Published in the Official Gazette on July 2, 2024, under Law No. 7518, these regulations place such providers under SPK’s regulatory and supervisory mandate. The law encompasses activities including the buying, selling, exchange, and transfer of crypto assets, along with the custody and management of private keys required for these transactions.

Requirements for Compliance

Crypto-asset service providers operating as of the law’s effective date must register with the SPK within one month, complying with the secondary regulations stipulated under this law. Service providers must also ensure they are not causing harm to customer rights and assets during this compliance period.

Implications for Existing and New Service Providers

Service providers who wish to continue their operations must submit detailed documentation to the SPK by August 2, 2024. Those opting to cease operations are required to declare their intention and submit a detailed liquidation plan by the same date, ensuring they do not accept new customers during this period.

Impact on Foreign Crypto Service Providers

Foreign-based crypto-asset service providers targeting Turkish residents must terminate their services by October 2, 2024. This move aims to ensure all crypto-asset activities adhere to local regulatory standards.

Conclusion

The latest regulations by the Turkish Capital Markets Board mark a significant step towards structured oversight in the cryptocurrency sector. Service providers must act swiftly to ensure compliance or face potential penalties. These developments are crucial for a secure and transparent market environment, aligning Turkey’s crypto sector with global regulatory standards.