The use of Crypto Regulations in Turkey has exploded over the past few years, with devalued currency, high inflation, and an increase in the use of alternative investments. However, by 2025, Turkey has moved a long way toward regulating its official position on digital assets, as questions like this one have changed to the more concrete and less progressive but elucidated legal space.
In this article, we will examine the contemporary crypto laws in Turkey as of 2025, their implication to the investor and the business and what can possibly occur in the future.
A Quick History: Crypto Regulation in Turkey (Pre-2025)
Turkey’s approach to crypto regulation has shifted dramatically since 2021:
- April 2021:The central bank of the Republic of Turkey (CBRT) prohibited the usage of cryptocurrency in direct payment.
- The criteria that the judge used to close down Thodex and Vebitcoin, two of the largest cryptocurrency exchanges in Turkey, had many similarities with those applied in the U.S., as traders demanded regulators to control cryptocurrency exchanges.
- 2022: Proposed a law that would regulate crypto service providers, which did not pass.
- 2023 2024: The negotiations of the government with the crypto stakeholders increased; a new framework was developed according to the FATF (Financial Action Task Force) recommendations.
- Towards the beginning of 2025, it was announced that Turkey laid down a full legal system to control crypto exchanges, custodians, and transactions..
What Changed in 2025? Key Crypto Regulatory Updates
Formal Oversight by the Capital Markets Board (SPK)
The Capital Markets Board of Turkey (Sermaye Piyasası Kurulu – SPK) is now the main authority overseeing crypto markets. Exchanges and crypto-related businesses must register and operate under strict financial regulations, similar to stock brokerages.
Mandatory Licensing for Crypto Exchanges
In 2025, Turkey officially legalized crypto trading platforms, but only if they are licensed by the SPK. Requirements include:
- Incorporating a local company in Turkey
- Maintaining minimum capital of 100 million TRY (~$3 million)
- Regular financial audits and reporting
- Adherence to AML/KYC obligations
Foreign exchanges like Binance and Kraken must partner with or acquire a local entity to remain compliant.
Custody and Security Standards Introduced
Crypto custodians now require independent licensing. These companies must:
- Keep at least 80% of user assets in cold storage
- Maintain insurance coverage for hacks and losses
- Report Anonymous report of suspicious activity can be forwarded to MASAK (Financial Crimes Investigation Board)
- These standards are supposed to guard the users against collapse of the exchanges as well as frauds that characterized previous years.
Tightened AML/KYC Rules
Any crypto platform will have to be in line with the improved AML (Anti-Money Laundering) and KYC (Know Your Customer) standards. Government issued documents are required to verify the identity of the users, as well as large or suspicious transactions will be monitored in real-time.
MASAK can now freeze or seize crypto assets linked to criminal or tax-evasion activities — a major deterrent for illicit use.
Crypto Taxation in 2025
One of the most anticipated changes: Turkey introduced a formal tax policy on crypto earnings.
Key Tax Rules:
- 15% capital gains tax on crypto profits
- 1% transaction tax for high-frequency or business accounts
- Losses can be deducted against gains (only within the same tax year)
- Obligatory annual reporting of holdings over 250,000 TRY (~$8,000)
The Revenue Administration (GİB) now treats crypto similar to securities — and audits are expected to rise.
Impact on Crypto Traders and Investors
For individual traders:
- Increased legal clarity and exchange safety
- More KYC, less anonymity
- Crypto profits now taxed
While regulations bring safety and legitimacy, they also eliminate the “wild west” freedom many Turkish users previously enjoyed.
Impact on Crypto Businesses and Startups
The 2025 regulatory framework has opened doors for licensed crypto businesses, including:
- Turkish-based centralized exchanges
- Licensed custodians and wallet providers
- Regulated crypto asset managers and investment advisors
However, DeFi platforms, P2P networks, and unlicensed services are being restricted or blocked. Turkish ISPs have been instructed to limit access to offshore services operating illegally.
Public and Political Sentiment Toward Crypto in Turkey
The Turkish government maintains a cautious but supportive tone toward digital assets — prioritizing regulation over prohibition. In parallel, the Digital Turkish Lira (CBDC) is in early-stage pilot programs in cooperation with banks.
Public sentiment is mixed:
- Many appreciate regulatory protections.
- Others are concerned about loss of privacy, surveillance, and tax burdens.
International Reactions & Comparisons
Any crypto platform will have to be in line with the improved AML (Anti-Money Laundering) and KYC (Know Your Customer) standards. Government issued documents are required to verify the identity of the users, as well as large or suspicious transactions will be monitored in real-time.
The country’s FATF rating has improved thanks to these policies, helping attract foreign fintech partnerships and institutional interest.
Expert Opinions and Legal Commentary
Selin Kaya (Crypto Legal Analyst):
“These new rules give legitimacy to the Turkish crypto ecosystem, but the government must avoid over-regulating innovation — especially in areas like DeFi and NFTs.”
Mehmet Yıldırım (CEO of a licensed Turkish exchange):
“We’ve waited for this moment. Regulatory clarity is good for serious players and investors. But yes — compliance costs are high.”
What to Expect Next
Looking ahead:
- A stablecoin framework is in development.
- NFT-specific regulation may be introduced in late 2025.
- The Digital Turkish Lira (CBDC) could see wider rollout in 2026.
- New international crypto exchange partnerships are being negotiated.
Expect further alignment with European crypto laws as Turkey deepens its fintech ties with the EU.
Final Thoughts
The planned introduction of ordered crypto management in Turkey in 2025 becomes an important milestone in its increasingly developing digital asset market. The era of free reign is long gone and investors play in a newer and more open field.
As long as startups and traders are ready to adhere to it, Turkey has the potential to become a regional crypto hub with access to Europe, the Middle East, and Central-Asia.