Turkey to introduce cryptocurrency regulation within weeks

The head of Turkey’s central bank said that the finance ministry plans to present cryptocurrency regulation within two weeks. He ruled out a complete ban on digital assets, according to Decrypt.

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‘You can’t decide anything by simply banning cryptocurrency, and we are not going to do that,’ said Şahap Kavcıoğlu.

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He did not specify details of the proposed regulation, but hinted that it would clarify the legal definition of cryptocurrencies and determine how institutions should store them.

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He explained the need for regulatory rules by the fact that ‘alarmingly large’ amounts of funds are leaving the country via digital assets. The central bank head also acknowledged that he does not have verifiable figures to back this up.

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According to Kavcıoğlu, the regulator’s recent decision to bar payment systems from dealing with virtual currencies was necessary to restore state control over the sector.

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Earlier, Turkish crypto exchange Thodex was suspected of an exit scam after an abrupt halt to trading. Police, in the course of the investigation, have already detained 62 people, linked to the platform.