🇹🇷 TURKEY TIGHTENS CRYPTO RULES: BALANCING TRANSPARENCY AND TRADING FREEDOM

On June 26, 2025, Turkey unveiled new crypto regulations under Capital Markets Law No. 6362, aiming to align with global AML standards. Key highlights include:

– Source of funds verification: Users must provide a written explanation (minimum 20 characters) for each transfer and verify the origin of funds — aligning with frameworks like the EU’s MiCA.

– Withdrawal delays: A 48-hour delay applies after purchases/exchanges, and 72 hours for first-time withdrawals. This measure targets fraudulent activity but could hinder short-term traders.

– Stablecoin limits: Daily and monthly transfer caps are set at $3,000 and $50,000 respectively. Compliant platforms following the “travel rule” (KYC on sender/receiver) may double these limits.

Additional rules include minimum capital requirements (₺150M for exchanges, ₺500M for custodians), and custody mandates where 95% of client assets must be held by licensed custodians, with 3% liquidity reserves.

Short-term impact: These measures could reduce trading volume, especially among retail and institutional players reliant on fast transfers and high-volume stablecoin activity.

Long-term outlook: If implemented effectively, the framework may build investor confidence, attract institutional capital, and mature Turkey’s crypto ecosystem — one of the top 5 globally in adoption.

Compared to the EU’s 5AMLD or the U.S. FinCEN proposals, Turkey’s regulations are notably stricter in terms of withdrawal delays and stablecoin caps, potentially triggering regulatory arbitrage as users migrate to less restrictive jurisdictions.

While controversial, this move signals that crypto is entering an era of tighter compliance — and possibly, stronger legitimacy.

#TurkeyCrypto #CryptoRegulation #AMLCompliance