Coinbase And KuCoin Compete To Apply For Crypto Licenses In Turkey

Coinbase and KuCoin are racing to apply for a crypto license in Turkey (Photo; Doc. Bidya)

JAKARTA - The crypto market in Turkey is undergoing a major transformation with more and more leading companies competing to apply for an operational license. Among the big names that are now participating are Coinbase and KuCoin, which joins the list of other companies such as Binance, Bitfinex, and OKX who have already been involved in this licensing process. This step shows how important the Turkish market is in the global crypto map, as well as its great potential for industrial growth.

The surge in licensing applications follows a regulatory update conducted by the Turkish Capital Market Agency (CMB), which marks a crucial point for the country's growing crypto sector. According to Cointelegraph information, in early August, CMB announced that 47 crypto companies had applied for licenses under the new regulatory framework. However, this figure has now soared to 76 companies, showing growing interest and confidence in the crypto market in Turkey.

Nonetheless, the CMB asserts that the inclusion of companies in Operating Lists does not necessarily mean they have obtained official authorization. Each company still has to obtain formal approval from the board, which relies on implementing secondary laws. This list will continue to be updated as the company corrects regulatory shortages or after the CMB completes its investigation.

Crypto regulation in Turkey is still in the transition stage. Although a comprehensive crypto law has not yet been fully enforced, existing rules already regulate market activity. Turkey's Minister of Finance and Treasury, Mehmet Simsek, in January indicated that local crypto laws were nearing completion, although the expected draft has not yet been submitted to parliament.

However, this regulatory uncertainty does not prevent companies from seeking licenses, reflecting the optimism of the sector and the importance of Turkey in the global crypto market map. This wave of licensing applications follows the enactment of a law on Amendments to the Capital Market Law which took effect on July 2. The law aims to provide a regulatory framework for crypto asset service providers in Turkey.

According to a Chainalysis report, Turkey is now ranked fourth as the world's largest crypto market, with an estimated trading volume of 170 billion US Dollars (Rp2.6 quadrillion). This figure places Turkey ahead of other major markets such as Russia, Canada, Vietnam, Thailand, and Germany.

Coinbase and KuCoin's move to apply for a license in Turkey is in line with their global expansion plans. Coinbase recently re-launched its operations in Hawaii after being absent from the market for seven years, demonstrating its willingness to work with various regulatory systems. Applications in Turkey are seen as another step in the company's efforts to comply with regulations and expand in the international arena. Similarly, KuCoin is also expanding its business in Turkey, which has emerged as an important player in the global crypto market.