A legal battle is set to challenge Turkey’s ban on crypto payments, potentially reshaping the country’s regulatory landscape. A ruling in favor of crypto payments could open doors for new business models and crypto exchanges seeking licenses.
GlobalB Takes Turkey’s Crypto Ban to Court
Turkish law firm GlobalB is set to contest the country’s prohibition on crypto payments in a hearing scheduled for May 28, according to the firm’s founding partner, Sima Baktaş.
While Turkish citizens can buy, hold, and trade cryptocurrencies, a 2021 ban by the Central Bank of the Republic of Turkey prohibits their use for payments. The ban restricts both direct and indirect usage of crypto assets in payment services and electronic money issuance.
The hearing, which will take place in Ankara, will focus on the economic benefits of allowing crypto payments. Baktaş argues that lifting the ban could drive financial innovation, create a more inclusive payment system, and strengthen Turkey’s position as a blockchain-friendly nation.
“Using crypto for payments would enhance financial efficiency and attract global investment,” said Baktaş. “International companies and investors are more likely to operate in a regulatory environment that supports digital assets.”
Is Turkey Becoming More Crypto-Friendly?
Despite the ban on crypto payments, Turkey has made strides toward becoming a more crypto-friendly nation.
- Crypto Licensing Framework: In July 2024, Turkey introduced a regulatory framework allowing crypto asset providers to apply for licenses. Major exchanges like Bitfinex, Binance TR, and OKX TR have already submitted applications.
- Stronger AML Regulations: In December 2024, Turkey implemented stricter Anti-Money Laundering (AML) rules, requiring transactions above 15,000 Turkish lira ($412) to be reported along with user identification.
- Banking Sector Integration: Several Turkish banks, including BankPozitif and Misyon Bank, have partnered with Swiss crypto platform Taurus to offer crypto services.
- No Crypto Profit Taxation: The government has denied any plans to impose taxes on crypto profits.
Crypto Adoption on the Rise in Turkey
Turkey has witnessed significant growth in cryptocurrency adoption. A 2021 poll revealed that the country’s crypto user base had increased elevenfold. In 2023, a survey found a 12% rise in crypto users, and a 2024 report showed a cryptocurrency ownership rate of 19.3%.
Baktaş believes that GlobalB’s lawsuit could help shape secondary regulations that foster both innovation and compliance.
“A favorable ruling could pave the way for well-regulated yet dynamic crypto platforms,” she said. “It’s an opportunity to create a secure and thriving digital economy.”
