Turkey’s Finance Ministry is working on more comprehensive regulations for cryptocurrencies, according to Central Bank Governor Sahap Kavcioglu, who also said that the bank has no plans to ban them. In an interview with Turkish media, Kavcioglu said that some information will be available in two weeks.
The central bank barred the use of crypto assets in payments last week, citing major risks posed by market volatility. The central bank stated in legislation published in the Official Gazette that cryptocurrencies and other digital assets based on distributed ledger technology could not be used as a payment instrument, either directly or indirectly.
After the Turkish ban on April 16, which was criticised by the main opposition group, Bitcoin was down nearly 3% to $61,490 against the dollar at 7:54 GMT.
Crypto assets, according to the central bank, are “neither subject to any oversight and supervision mechanisms nor a central regulatory authority,” among other security concerns.
Payment service providers will not be able to create business models in which crypto assets are used directly or indirectly in the provision of payment services and electronic money issuance- as per the statement, and will not be able to offer any services.
Royal Motor, which distributes Rolls-Royce and Lotus cars in Turkey, was the first in the country to announce that it would welcome cryptocurrency payments last week. Apple, Amazon, and Expedia are only a few of the global giants that support such payments.