EXCLUSIVE – Fatih Otluoğlu, CEO of the BitHero exchange, which was recently established and quickly made a name for itself in the cryptocurrency world, commented on the new crypto regulations for Uzmancoin. While Otluoğlu especially emphasised transparency and security issues, he also said that the state should take steps to encourage the sector.

“This regulation was necessary”

Stating that the regulations are absolutely necessary for the development of the Turkish cryptocurrency market, Otluoğlu said that the law will contribute to the growth of the sector:

“The crypto asset law brings important regulations that will increase reliability and transparency in the Turkish crypto sector and ensure the protection of investors. This regulation was very important for crypto asset service providers to comply with certain standards, to increase regulatory audits in the sector and to prevent illegal activities. Regulations will contribute significantly to individual investor inflows by increasing confidence in the sector. Therefore, we think that one of the important requirements for the growth of the sector has been met. In summary, as BitHero, we welcome this regulation very positively.”

“We had already completed our work according to the law”

Stating that they acted according to the regulatory framework in their work before the law, Otluoğlu stated that there will be no situation that will negatively affect their platforms in terms of compliance:

“We built our platform by taking into account the teachings in the field of traditional finance and the laws being applied in the current markets in order to provide an excellent experience and ensure the highest level of customer satisfaction. We were also following the processes regarding the crypto asset law. We did our work by taking into account this regulatory framework we expected. As a result, there are no difficulties that will affect our platform in terms of compliance with the law.

In addition, the regulation clarifies some areas in the sector that are not clearly defined or standards are not set, and eliminates uncertainties. In this respect, I see this as a development that makes it easier for us to make long-term development plans for our platform. Users’ interest in platforms that respect boards and rules like us will increase.

It is very important for platforms to comply with certain criteria in terms of security and transparency in terms of the reputation of the sector and user trust. We are a platform that shows high sensitivity on these issues and puts its users at the centre, but the fact that the regulation sets standards for the entire sector will increase trust and positive perception in the sector. In this respect, I think the law will be beneficial.”

“We will explain in a simple and plain language”

Stating that they will inform users about the new law through social media and e-mails, BitHero CEO stated that they will use a simple and plain language to explain the law clearly:

“It is important to identify the areas of the new law that will affect users’ daily experiences and convey them in a simple and plain language. With this approach, we plan to take various steps to inform our users about the new law:

We will share informative blog posts and videos about the new law on our website and social media channels. We also plan to provide detailed information about the new law in webinars and live broadcasts we will organise for users. We will also regularly inform our users via e-mail newsletters and notifications.”

“Continuous update is very important”

Stating that the cryptocurrency world has a constantly developing and changing structure, Otluoğlu said that MiCA can be taken as an example in this sense, but that the law will need to be constantly updated in parallel with global developments:

“The European Union Crypto Asset Markets Regulation (MiCA) will be one of the main sources to be based on when making additions to the law. In particular, more comprehensive investor protection measures, regulations for decentralised finance (DeFi) platforms and flexibilities to adapt to new technological developments can be expected to be included in the law. In addition, in parallel with the developments in the global crypto markets, the continuous updating and adaptation of regulations in Turkey is also very important.”

“More domestic and foreign investors will come”

Stating that the new regulations will instil confidence in the sector, which will attract more investors, both domestic and foreign, the successful manager used the following statements:

“The clarification of the regulatory framework will increase confidence in the sector and attract more domestic and foreign investors. In addition, the fact that our country has a young and highly technology-adapted population offers great potential for the growth of the crypto sector. However, it is very important that regulations do not hinder innovation in the sector and provide flexibility. Turkey should aim to be a leader in crypto technologies and see this field as one of the sectors that will contribute to the economic development of our country as a global technology producer. In line with this goal, the sector should be supported in international competition with incentive regulations, and should also be open to global collaborations and innovations.”