Türkiye is on the verge of finalizing efforts to regulate and control crypto assets, stated Treasury and Finance Minister Mehmet Şimşek.
Our primary objective with the crypto asset regulations is to enhance the safety of this sector and mitigate potential risks, he added, according to Anadolu Agency.
Şimşek, in comments to the official Anadolu news agency, highlighted that the regulations have the objective of mitigating the risks associated with cryptocurrency trading. Additionally, they seek to assist the country in transitioning from the “grey list” to actively monitoring international financial crimes.
According to Şimşek, the Capital Markets Board (CMB) will be responsible for granting licenses to cryptocurrency trading platforms, and these platforms will be required to adhere to the strictest operational standards. This includes imposing specific conditions for founders and managers, ensuring compliance with regulatory obligations, as well as meeting capital requirements.
Bitcoin ETF approval
Meanwhile, in a significant development for the cryptocurrency industry, the U.S. securities regulator has granted approval for the first-ever U.S.-listed exchange-traded funds (ETFs) to track Bitcoin. This decision marks a milestone for the world’s largest cryptocurrency.
The news came after a turbulent 24 hours for Bitcoin, starting with a tweet from the Securities and Exchange Commission (SEC) account announcing the approval of the long-awaited ETFs. As a result, the price of Bitcoin surged by over $1,000. However, the SEC later clarified that their account had been compromised, and the tweet was unauthorized. Nonetheless, the SEC confirmed the approval of the ETFs, stating its ongoing skepticism towards cryptocurrencies.
Read more: Bitcoin ETFs approval: A game-changer for cryptocurrency market
Türkiye ranks fourth in global crypto transactions
According to a report from Chainalysis, Türkiye secured the fourth position worldwide in terms of cryptocurrency transactions, with an estimated value of approximately $170 billion in the past year. The leading countries in this regard were the United States, India, and the United Kingdom.
Factors at play
Türkiye’s surge in digital currency usage can be attributed to a combination of factors, including persistent inflation reaching around 65 percent last month and a significant decline of over 80 percent in the value of the lira against the dollar over the course of five years.
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