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The Capital Markets Board (CMB) has implemented new rules aimed at protecting investors and regulating the cryptocurrency market. Platforms will be required to separate customer assets from their own assets, and the acceptance of orders via social media has been banned. The new regulations impose significant restrictions on practices such as leveraged transactions and promotional campaigns.
CMB's Step Towards Security and Transparency in the Cryptocurrency Market
In order to regulate the cryptocurrency market in Turkey and protect investors, the Capital Markets Board (CMB) has announced a comprehensive set of new rules. These regulations, implemented in accordance with the amendments to the Capital Markets Law No. 7518, bring significant changes for cryptocurrency service providers and platforms.
The focus of the new regulations is on the protection of customer assets. Accordingly, cryptocurrency platforms will be required to keep cash and cryptocurrency assets belonging to customers separate from their own assets and to store these assets in banks. Additionally, cash transfers will only be allowed through banks or authorized institutions, and cash transactions will be prohibited.
Strict rules have also been established regarding the acceptance of customer orders. From now on, orders can only be accepted through the platforms' official websites, mobile applications, or registered phone numbers. The use of social media applications such as WhatsApp and Telegram for this purpose will be strictly prohibited.
Peer-to-peer (P2P) transactions have also come under strict scrutiny. Those who regularly transact on behalf of others will be considered unauthorized cryptocurrency service providers, and such activities must be terminated by November 8, 2024, at the latest.
The CMB has excluded NFTs and cryptocurrency assets used solely in virtual games from the listing principles of the Capital Markets Law. However, platforms that process these assets will be required to clearly inform customers that these assets are not subject to CMB oversight and supervision.
The new regulations have also imposed strict rules on the advertising and promotional activities of platforms. Promotional campaigns that promise a certain return or direct customers to specific cryptocurrency assets have been banned. Additionally, campaigns that provide benefits to individuals who bring in customers, such as referral systems, have also been included in the ban.
Leveraged transactions, borrowing cryptocurrency transactions, and transactions that would result in lending to customers have also been prohibited. Platforms will only be able to sell cryptocurrency to customers in amounts available in their own wallets.
The CMB has made the integration of platforms with the Central Registry Agency mandatory. Furthermore, it has been emphasized that regulations regarding the use of cryptocurrency assets in areas falling under the jurisdiction of other regulatory institutions, such as commodities and real estate, must be adhered to.
It is expected that a significant portion of these comprehensive regulations will be implemented by November 8, 2024. With this step, the CMB aims to create a safer, more transparent, and fair environment in the cryptocurrency market, protect investors, and prevent potential grievances.
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