Crypto asset law passed by the Turkish Grand National Assembly! What will happen now?

The Grand National Assembly of Turkey (TBMM) approved the long-awaited bill aiming to regulate the crypto asset market. The new law makes changes to the Capital Markets Law (CMB), introducing new rules, obligations and penalties for crypto asset service providers.

The Turkish Grand National Assembly adopted the crypto asset bill

One of the main objectives of the crypto asset law will be to protect investors and create a safe and transparent environment in the market. In this context, it has become mandatory for all crypto asset service providers to obtain an operating permit from the CMB.

In addition, these companies will need to meet a certain capital requirement and comply with the information systems and technological infrastructure criteria determined by TÜBİTAK.

With the new law, the issuance, sale and distribution of crypto assets also fall within the jurisdiction of the CMB. All of these transactions will be recorded and monitored against manipulative actions. Fine of up to 6 million lira will be implemented. Penalties were also introduced for crimes such as market fraud, market distortions and information misuse.

Financial audits of crypto asset service providers will be conducted by independent audit institutions authorized by the CMB. The law also stipulates that requests for measures, seizures and similar measures regarding cash and crypto assets belonging to customers will be met directly by service providers.

Those operating without permission will face severe sanctions. 3 to the officials of these companies imprisonment from 1 to 5 years and a high amount of judicial fines may be imposed.

With the law coming into force, crypto asset service providers based abroad are also required to terminate their activities in Turkey. These companies were given a period of 3 months to terminate their services for users residing in Turkey.