For a long time, crypto-assets were traded without a clear legal framework. With the amendment made in 2024 to Capital Markets Law No. 6362, this field was regulated at statutory level for the first time, and crypto-asset service providers were placed under the supervision of the Capital Markets Board (SPK).

Basic concepts

The Law defines a crypto-asset as an intangible asset that can be created and stored electronically using distributed ledger technology or a similar technology, is distributed over digital networks and is capable of representing value or rights. Crypto-asset service providers are platforms, institutions providing custody services and the other institutions listed in the Law.

Authorisation requirement

• Crypto-asset service providers must obtain authorisation from the SPK before commencing operations.
• The criteria relating to information systems and technological infrastructure are determined by the Scientific and Technological Research Council of Türkiye (TÜBİTAK); compliance with these criteria forms part of the authorisation process.
• The activities of platforms established abroad that are directed at persons resident in Türkiye also fall within the scope of the authorisation regime. Unauthorised activity is defined as an offence punishable by imprisonment, in addition to administrative sanctions.

Protection of client assets

One of the most important innovations of the Law is the segregation of client assets from the service provider’s own assets:

• Client cash is held at banks.
• Crypto-assets are held in custody through custodians deemed appropriate by the Board.
• Client assets may not be attached, pledged or included in the bankruptcy estate on account of the service provider’s debts.

This segregation aims to prevent clients from having to line up among creditors if a platform falls into financial difficulty.

Liability regime

Service providers are liable for the security of their information systems and for losses arising from cyber attacks, information security breaches or the acts of their employees. The Law also provides for aggravated criminal provisions for the misuse of crypto-assets and for acts amounting to breach of trust.

Assessment

The regulation removes crypto-assets from the realm of the “legal vacuum” and approaches them with the logic of capital markets legislation, that is, the principles of authorisation, supervision and investor protection. Nevertheless, questions such as the taxation of crypto-assets, their use in payments and their characterisation in consumer contracts continue to be shaped by separate regulations and by practice. Checking whether a platform appears in the lists published by the SPK before entering into a relationship with it is the first and simplest step an investor can take.