Turkey Tightens Crypto Rules with Source and Purpose Verification of Transfers
Turkey’s Treasury and Finance Ministry is ramping up efforts to suppress crypto transactions by applying greater transparency and stricter controls on the movement of digital currencies. As per state-run Anadolu Agency.
Platforms must get Transfer Purpose and Source
Under new draft regulations, cryptocurrency exchanges will be required to receive detailed information on the purpose and source of every transaction. The description of every user-initiated transfer shall be at least 20 characters.
Withdrawals will similarly be under closer observation. If the global Travel Rule, mandating disclosure of sender and receiver data, does not come into play, platforms must impose a 48-hour delay on most cryptocurrency withdrawals and 72 hours on the first withdrawal from a specific account.
These measures aim to prevent money laundering and remain consistent with global anti-money laundering (AML) standards.
Daily and Monthly Limits for Stablecoin Transfers
The Finance Ministry also seeks to curb stablecoin flows, often used for rapid fund movement. According to Anadolu Agency, users will be restricted to $3,000 per day stablecoin transfers and $50,000 per month.
Platforms that are fully compliant with the Travel Rule will be allowed to double those limits. Exemptions will apply to market-making, arbitrage, and liquidity business, provided platforms monitor them internally.
Sanctions for Non-Compliance
Treasury and Finance Minister Mehmet Şimşek emphasized that the crackdown is against illegal finance, not legitimate use of crypto.
“Left-wing space for legitimate crypto asset activities will be maintained,” Şimşek stated.
Non-conforming platforms can face severe penalties including administrative fines, refusal of license, to revocation.
Alignment with Global Standards
The move is part of Turkey’s larger plan to align its regulatory framework with international standards, including the EU’s Markets in Crypto-Assets (MiCA) regulation.
During the first half of the year, the Capital Markets Board established a licensing regime for Crypto Asset Service Providers (CASPs), such as regulations related to executive background checks, shareholder disclosure, and capital. Exchanges must hold a minimum of $4.1 million, while custodians must hold $13.7 million in capital.
Turkey’s latest steps demonstrate its ongoing efforts to digitalize crypto regulation and provide financial integrity while leaving room for legitimate digital asset innovation.
