Turkey’s cryptocurrency regulations offer optimism to investors in 2025, with the cryptocurrency ecosystem becoming more reliable thanks to changes introduced this year, industry representatives said.
The crypto market, led by leading cryptocurrency Bitcoin, has had a turbulent year. Bitcoin extended its gains, nearly doubling since the start of the year and hitting another milestone by surpassing $100,000 (TL 3.5 million) for the first time following an unprecedented post-election rally November 5.
It briefly hit an all-time high above $106,000 last week, but fell again to around $98,413 as of midday GMT on Wednesday, revealing volatility specific to the crypto market.
As for Turkey, the country established its first legal framework for the cryptocurrency sector this year, sparking growing interest in digital currencies.
The long-awaited draft law, including regulations regarding cryptocurrencies, was accepted by Parliament in June, establishing the legal framework for critical aspects related to crypto assets, including the obligation for service providers to crypto assets to obtain authorization from the Capital Markets Board (SPK) before establishment and operation.
Salim Karaman, CEO of Turkish crypto exchange BtcTurk, told Anadolu Agency (AA) on Tuesday that the approval of Bitcoin spot exchange-traded funds (ETFs) in the United States this year is a development history for the industry.
The U.S. securities regulator in early January approved the first U.S.-listed exchange-traded funds to track bitcoin, giving investors exposure to the world’s largest cryptocurrency without owning it directly.
The move encouraged many hesitant investors to enter the market, but Karaman noted that Turkey’s crypto regulations remain too new to fully assess, as secondary regulations are still in progress. Nevertheless, the current approach taken by Turkish lawmakers has caught the attention of investors.
“The spread of tokenization projects across different sectors has accelerated the digitalization of the sector and we hope that user confidence will increase as regulations strengthen and create a healthier competitive environment,” he added.
Interest in crypto has increased in recent years in the country as it is also one of the assets used to protect against inflation.
A dynamic market
Kutluhan Akçın, country manager of cryptocurrency exchange Bybit for Turkey, told AA that bitcoin’s record performance and growing interest from Turkish investors have kept the local crypto market vibrant this year.
As uncertainties surrounding the legal framework begin to fade, Turkey provides a safer space for individuals and institutions to invest in cryptocurrencies.
Akçın also highlighted that the Capital Markets Board has established a list of crypto asset service providers, which sets a standard for identifying reliable and legal platforms for crypto investments.
“With great interest in the crypto market, Turkey’s regulations to protect investors’ rights inspire confidence and strengthen the country’s position as a regional crypto hub, paving the way for more confidence in the future, as a broader user base begins to show interest in the crypto market,” he said.
A positive dynamic
Ali Eşelioğlu, CEO of trading platform CoinTR, told AA that global efforts to establish a regulatory framework for crypto assets, combined with approval from the United States, have created positive momentum in the market.
This, in turn, has contributed to the increase in trading volumes and customer base of exchanges.
He highlighted that Turkey’s regulatory framework has made the country’s crypto ecosystem more organized and reliable, and secondary regulations are expected soon.
Mehmet Çamır, president of crypto exchange OKX Türkiye, also reiterated that the approval of Bitcoin ETFs in the United States has attracted more interest from wealthy investors, pension funds and corporate treasuries.
He called 2024 the “year of adoption” for crypto.
Çamır added that Turkey stands out as the largest crypto market in the Middle East and North Africa, with a trading volume of $2.5 billion since OKX launched its platform in Turkey on February 27. . He also noted that the new legal framework has had a positive effect. impact on the ecosystem both in Türkiye and globally.
“This framework will make a significant difference in increasing trust, paving the way for institutional investments and boosting Turkey’s global competitiveness,” he concluded.
