In Turkiye, the world’s fourth largest cryptocurrency market according to Chainalysis data, the Legislation Proposal on Amendments to the Capital Markets Law, consisting of 19 articles, which has been closely followed by the ecosystem and cryptocurrency exchanges for a long time, was submitted to the Presidency of the Turkish Grand National Assembly. The first assessment of the cryptocurrency legislation, which is one of the issues that the new economic administration led by the Minister of Treasury and Finance Mehmet Şimşek is also meticulously focusing on and is known to facilitate Turkiye’s exit from the Financial Action Task Force’s (FATF) gray list related to Anti-Money Laundering (AML) measures, came from Gate.TR CEO Kafkas Sonmez.

Kafkas Sonmez stated that they welcomed the crypto legislation proposal that responded to the initial expectations.

“Turkiye has proven that it is a pioneer in crypto in legal terms”

The Turkish cryptocurrency law proposal submitted to the Presidency of the Turkish Grand National Assembly outlines the framework for the regulation and supervision of digital assets in general terms, while outlining the legal obligations of digital asset ownership, providing digital asset services and service providers.

Kafkas Sonmez noted that one of the most challenging points in establishing a new regulatory framework is definitions and said, “This legislation establishes the general regulatory framework for digital assets and cryptocurrencies by taking the pioneering work done in our country in the past a few steps further. As discussions on this issue continue in many countries around the world, this draft law, which Turkiye has enacted very quickly compared to the global market, proves in legal terms that Turkiye is a pioneer in crypto, in a way befitting its market share. We firmly believe that this law, which is not prohibitive but regulatory, will facilitate the unlocking of opportunities in the ecosystem and contribute more to our country’s regional leadership potential in crypto.”

“It will increase constructive competition, build trust and increase value”

Pointing out that the proposed legislation is a very important starting point in terms of cryptocurrency regulation, Gate.TR CEO Kafkas Sonmez said, “Turkiye has always been an attractive market for global players. This draft law expands the boundaries of this attraction. It includes local and foreign cryptocurrency exchanges, blockchain developers, next-generation asset servicing companies and even traditional finance into a common and constructive competition lane. The new law creates a fair ground for all players where innovation, user experience, excellence in user services, and experience-oriented collaborations will be the differentiators. This development, which gives reputation and recognition to cryptocurrency exchanges and other stakeholders in the eyes of official institutions and traditional financial institutions, also positively shapes public perception by creating an environment of trust for the entire ecosystem. Now, a brand new era begins for crypto and blockchain-oriented projects in Turkiye, and this period will increase the added value for everyone.”

“We worked together in approximately 2,500 judicial cases”

Noting that they always accompany the progressive steps taken on the basis of mutual exchange of ideas and working together, Kafkas Sonmez concluded his evaluations with the following statements:

“As Gate.TR, we emphasized in our ecosystem meetings and in all our meetings with opinion leaders and other representatives that where there is money, there must be law, and that the law will be the guarantee of trust. Gate.TR also showed its pro-cooperation attitude in its actions before the law was passed. In 2023 alone, we worked with public institutions to resolve nearly 2,500 judicial cases. As one of the permanent stakeholders of the Turkish crypto market, we would like to emphasize that we are ready and excited to pioneer new developments that this beginning will bring. We would like to thank everyone who contributed to the preparation of the new cryptocurrency bill submitted to the Presidency of the Turkish Grand National Assembly.”