Turkish Law Firm Challenges Crypto Payment Ban

In a groundbreaking move, Turkish law firm GlobalB is set to challenge the country’s controversial ban on crypto payments in a hearing scheduled for May 28. According to Sima Baktaş, the founding partner of GlobalB, this legal action aims to highlight the potential economic benefits of allowing digital currencies for transactions.

Understanding Turkey’s Crypto Payment Ban

While Turkish citizens are permitted to buy, hold, and trade cryptocurrencies, the Central Bank of the Republic of Turkey has prohibited “any direct or indirect usage of crypto assets in payment services and electronic money issuance.” This ban has raised concerns among crypto advocates who believe that it stifles innovation and limits the growth of the digital economy.

GlobalB’s Strategy for the Hearing

During the upcoming hearing in Ankara, GlobalB plans to present a compelling case demonstrating the long-term economic advantages of permitting crypto payments. Baktaş emphasized that enabling crypto transactions could accelerate financial innovation, create more inclusive and efficient payment systems, and position Turkey as a leading hub for blockchain adoption.

“The ability to use crypto for payments would attract global investment, as international companies and investors are eager to operate in a regulatory environment that supports digital assets,” Baktaş stated in an interview with Cointelegraph.

Turkey’s Evolving Crypto Landscape

Despite the existing ban, Turkey has made significant strides toward becoming a more crypto-friendly nation in recent years. In July 2024, a new regulatory framework was introduced, allowing crypto asset providers to obtain licenses. This move has prompted requests from major exchanges such as Bitfinex, Binance TR, and OKX TR.

Additionally, several Turkish banks, including BankPozitif and Misyon Bank, have begun collaborating with the Swiss crypto platform Taurus, further indicating a shift towards embracing digital currencies.

Growing Crypto Adoption in Turkey

Crypto adoption has surged in Turkey over the years. A poll conducted in 2021 revealed a significant increase in the country’s crypto user base. Recent surveys indicate that the percentage of crypto users continues to rise, with a 2024 cryptocurrency ownership report showing a marked increase in interest among the Turkish population.

Baktaş believes that GlobalB’s lawsuit could serve as a catalyst for shaping secondary regulations that foster innovation while ensuring compliance. “A positive ruling could also pave the way for new business models, particularly for crypto platforms seeking licenses,” she added.

The Future of Crypto in Turkey

This legal challenge represents a pivotal moment for the future of cryptocurrency in Turkey. If successful, it could create a well-regulated yet dynamic environment where companies can operate securely while driving the growth of the digital economy.

As the hearing date approaches, all eyes will be on Ankara to see how this landmark case unfolds. The outcome could significantly impact the regulatory landscape for cryptocurrencies in Turkey and potentially inspire similar movements in other countries.

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