Turkey Adds Crypto Firms to Terrorist Financing Regulation Economic and Economic News
The presidential decree adds cryptocurrency exchanges to anti-money laundering and terrorist financing rules.
Turkey has added cryptocurrency trading platforms to the list of companies covered by anti-money laundering and terrorist financing regulations, according to a presidential decree.
The Official Journal said on Saturday that the latest extension to the country’s rules governing cryptocurrency transactions will take effect immediately and cover “crypto asset service providers,” who would be subject to existing regulations.
Turkey’s central bank last month banned the use of crypto assets for payments on the grounds that such transactions were risky.
In the days that followed, two Turkey-based cryptocurrency trading platforms were shut down in separate investigations – Thodex and Vebitcoin.
Six suspects linked to the Thodex investigation were jailed on Friday awaiting trial.
The Thodex investigation, which processed hundreds of millions of dollars in daily transactions, initially led to the arrest of 83 people after customers complained that they could not access their funds.
Interpol has issued an arrest warrant for the company’s CEO, Faruk Fatih Ozer, who is wanted by Turkish authorities after his trip to Albania.
Turks are increasingly drawn to cryptocurrencies as a hedge against the lira’s decline and double-digit inflation.