Turkey is ramping up its regulatory efforts in the cryptocurrency sector with a new set of stringent rules designed to combat money laundering and financial crime. The proposed measures, revealed by the state-run Anadolu Agency (AA), are part of a broader initiative by the Ministry of Treasury and Finance to enhance control over crypto asset service providers (CASPs).
Mandatory Transfer Descriptions and Withdrawal Delays
Under the draft regulations, crypto platforms will be mandated to collect detailed information for every transaction, including the origin and intended purpose of the funds. Users must also input a transfer description of at least 20 characters for each transaction.
Additionally, platforms will need to implement holding periods for crypto withdrawals in cases where the Financial Action Task Force’s (FATF) Travel Rule does not apply. Withdrawals will be subject to a 48-hour delay, while the first withdrawal from any account will face a 72-hour delay.
Stablecoin Transfer Caps Introduced
To prevent illicit fund outflows, the ministry is proposing caps on stablecoin transfers. Daily transfers will be limited to $3,000 and monthly transfers to $50,000. However, platforms that fully comply with the Travel Rule—including verification of both sender and recipient identities—will be allowed to offer double these limits.
Exemptions will apply to transfers linked to liquidity provision, market making, and arbitrage, provided the source of funds is verified and transactions are monitored by the platform.
Minister Şimşek: Regulations Won’t Hinder Legitimate Activity
Treasury and Finance Minister Mehmet Şimşek emphasized the government’s intent to strike a balance between regulatory oversight and innovation. “Left-wing space for legitimate crypto asset activities will be maintained,” Şimşek told Anadolu Agency.
He added that platforms failing to comply with the new rules could face a range of sanctions, from administrative penalties to license denial or cancellation.
Aligning With International Standards
The regulations mark one of the most significant moves by Turkey to harmonize its crypto policies with international standards, including the European Union’s Markets in Crypto-Assets (MiCA) framework.
Earlier in March, the Capital Markets Board (CMB) rolled out a licensing and operational framework for CASPs, granting it comprehensive oversight of exchanges, wallet providers, and custodians.
New Capital and Governance Requirements for CASPs
The new regulatory regime sets strict prerequisites for entities wishing to operate as crypto platforms in Turkey. These include criteria for executive experience, shareholder transparency, and minimum capital thresholds. Exchanges must hold at least $4.1 million in capital, while custodial service providers are required to maintain $13.7 million.
These steps underscore Turkey’s intent to create a regulated and compliant crypto ecosystem while safeguarding against abuse and aligning with global practices.
