Turkish parliament to discuss new crypto law

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Turkish President Recep Tayyip Erdoğan announced last week (Friday) that a new law regarding the use of cryptocurrency in Turkey has been drafted and will soon be discussed in the country’s national assembly (parliament).

Quoting Bloomberg, the pro-government Turkish newspaper Daily Sabah said the government is considering establishing a central depository bank to eliminate counterparty risk, and that a capital threshold for investment is also being considered, alongside training requirements. at the enterprise level.

Against the backdrop of the volatility of the Turkish Lira and record lows, which led to higher inflation, the cryptocurrency gained in popularity as locals sought new ways not only to make money. , but also not to lose their savings. As recently as last week, as the pound hit a new low, the number of cryptocurrency transactions per day hit over one million.

In April, in a bid to strengthen the pound, the country’s central bank announced it would ban the use of cryptocurrency for payment, citing irreparable damage and transaction risks. Holding and trading would remain legal. This led to the collapse of the country’s two largest trading platforms, Thodex and Vebitcoin.

Earlier this month, Turkey’s finance ministry sent out notices to crypto exchanges operating in the country requesting information on users, under a new set of regulations, citing heavy use of the crypto money in the laundering of criminal revenues and the financing of terrorism.

The day after Erdoğan’s announcement last Saturday, the Turkish crypto exchange entity Biance (BN Teknoloji) was fined $ 8 million ($ 750,000) for failing to comply with the new regulations.

Following Erdoğan’s announcement (which follows another announcement made earlier last week regarding economic reform), the Turkish lira rose.

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