Ruling Party Sources Deny Plan to Levy 40% Tax on Crypto Yields in Turkey – Regulation Bitcoin News

The government in Turkey does not intend to impose a 40 percent tax on crypto-related winnings as allegedly, members of the ruling Justice and Development Party (AKP) have indicated to the local press. They also emphasized that current regulatory efforts are aimed at creating a sustainable environment for the blockchain industry.

Turkey Creates a Regulatory Base for the Cryptocurrency Market

A legislative proposal designed to regulate cryptocurrency trading in Turkey is likely to be presented to Parliament in the coming weeks. Turkey’s Hurriyet newspaper reports that sources from the AK Party, the country’s ruling political force, have “strongly denied” allegations that the authorities in Ankara will tax cryptocurrency gains at a rate of 40%.

A representative of the AKP, deputy leader of the party’s parliamentary group Mustafa Ilytas, commented on social media last month that the new law would regulate Turkey’s crypto system, while “preventing malicious acts, protecting investors and addressing complaints” as he put it. He. She. He noted that drafts prepared by other institutions had also been mentioned by the media but stressed that the Legislative Council would have the final say.

On December 29, Elitaş organized a meeting with 13 representatives of cryptocurrency platforms operating in Turkey in Parliament in Ankara. It was also attended by officials from the Ministry of Treasury and Finance, the Banking Regulation and Supervision Agency (BDDK), the Financial Crimes Investigation Board (MASAK), and the Central Bank of Turkey. Participants expressed support for the adoption of a regulatory framework that would allow for further adjustments to reflect changes in space.

AKP examines UK and US crypto regulations

According to a report by another major Turkish daily, Milliyet, senior AKP members reviewed current regulations in the UK, US and Japan this week. The Hurriyet newspaper, citing party officials who chose to remain anonymous, revealed that achieving transparency, security, and auditability of cryptocurrency exchanges will be the first priority of Turkey’s own regulations. They added that creating a suitable financial environment to accommodate the growing blockchain sector is the next major goal.

The post noted that more than 30 crypto trading platforms are currently operating in Turkey, and the country’s crypto-asset market is among the top five in the world with nearly 5 million user accounts. The daily trading volume on the largest exchange, Binance, is around $320 million. Last month, MASAK fined Turkey’s Binance platform BN Teknoloji 8 million lira (more than $750,000 at the time) for violations identified during liability checks.

In May 2021, MASAK issued a set of guidelines for crypto service providers, requiring digital asset exchanges to verify the identity of their clients and report suspicious transactions, including trading in high volumes. The agency can impose fines on platforms that fail to perform their duties and even sue their owners.

The rules were adopted after two Turkish crypto exchanges, Thodex and Vebitcoin, suddenly stopped trading, causing losses to thousands of investors, and were targeted in anti-fraud investigations. In October, another platform, Coinzo, also shut down. The popularity of cryptocurrency trading and investing in Turkey has skyrocketed amid the surging lira inflation, but cryptocurrency payments have been banned by the Turkish Central Bank.

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AKP, Crypto, crypto exchange, crypto trade, cryptocurrencies, Cryptocurrency, Exchanges, Levy, MASAK, party, Regulation, Regulation, Party, Tax, Tax Rate, Taxes, Trading Platform, Turkey, Turkish

What kind of regulations do you expect Turkey to adopt? Share your thoughts on the topic in the comments section below.

Lubomir Tasev

Lubomir Tasev is an Eastern European technologist who likes to quote Hitchens: “Being a writer is what I am, not what I do.” Besides crypto, blockchain and fintech, international politics and economics are other sources of inspiration.

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