In an effort to combat money laundering and illegal betting in the crypto market, Ankara is drafting new legislation. According to early reports, MASAK may soon be able to freeze wallets, impose transaction limits, and blacklist accounts linked to criminal activity. Although the proposal has not yet been submitted to Parliament, if passed, it will mark a turning point for crypto assets in Turkey’s financial system.
MASAK to Gain Authority to Freeze Crypto Accounts
If enacted, the new law will empower MASAK to block cryptocurrency accounts without delay. This measure is seen as a crucial tool against money laundering, illegal betting, and fraud.
The powers under consideration extend beyond freezing balances. Sources suggest MASAK would also be able to blacklist suspicious wallets, set transaction limits, and conduct real-time monitoring of movements in the crypto space.
Still, questions remain over implementation. It is unclear how investors will be able to appeal wrongful freezes or how their legal rights will be safeguarded during the process.
Compliance With Global Standards and FATF Impact
Turkey’s regulatory push carries international significance as well. The draft bill is being shaped in line with Financial Action Task Force (FATF) recommendations, following Turkey’s recent removal from the FATF “grey list.”
Experts argue that such a move aims to bolster the credibility of Turkey’s financial system on a global scale. Bringing cryptocurrencies under greater transparency and supervision could also be seen as a positive development for foreign investors.
However, analysts warn that additional restrictions may create liquidity problems and put pressure on smaller crypto exchanges, making the impact of the law a double-edged sword.
Tackling Rented Accounts and Crypto Fraud
The draft specifically targets the widespread use of “rented accounts.” These accounts, often leased to criminal groups for a fee, are used to mask transactions linked to illegal betting, scams, and laundering operations.
Such practices not only enable crime but also place the real account owner at legal risk. With the new authority, MASAK is expected to swiftly identify and freeze rented accounts, disrupting the financial channels of criminal networks. Authorities hope this will create a safer market environment and enhance investor protection.
Taxation and Investor Rights Remain Unclear
One of the biggest questions surrounding crypto regulation in Turkey is taxation. Current drafts suggest that no direct tax on crypto transactions is planned at this stage. Instead, taxation may be introduced later under a separate bill.
Equally uncertain are the rights of investors:
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How will appeals against freezing decisions work?
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How quickly will disputes be resolved?
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Will compensation be offered for mistakes?
Experts caution that without clear safeguards for investors, the reform could end up eroding trust rather than building it.
Parliament Process and Potential Market Impact
The draft bill is expected to reach the Grand National Assembly in the coming months. The scope of the final legislation and how it will be implemented will shape the future of crypto trading in Turkey.
According to experts, the move could help Turkey curb criminal use of digital assets while also boosting investor confidence through regulatory clarity. Yet at the same time, concerns about liquidity risks, operational burdens on smaller exchanges, and vague legal protections remain unresolved.
In short, Turkey’s upcoming crypto legislation could prove to be a pivotal moment. Both investors and platforms are closely watching how Parliament will handle the proposal and the rules that will follow.
