NEWSROOM

Crypto regulation maintained its prominent position in the cyber agenda in the first week of the new year. A recent report observed that crypto regulation was discussed or legislated in more than 40 countries throughout 2023.

TURKEY - Crypto regulation, maintaining its prominent position on the 2024 agenda of the cryptocurrency markets, which concluded 2023 on a more positive trajectory than the previous year, also remained in the spotlight in the early weeks of the year. In a report published by the global consulting firm PWC in the final days of 2023, it was stated that in the past year, 42 countries held discussions to develop crypto-focus regulations or legislative frameworks or passed existing bills. 

Gate TR CEO Kafkas Sönmez, who shared his thoughts on the matter, said, “Gate.io, operating globally for the past 10 years, and Gate TR, celebrating its first year in the Turkish market, also had crypto regulation on their agenda for the last quarter of 2023. We closely monitored all developments related to crypto regulation in different countries and openly emphasised our support for constructive steps in Turkey. 

“It supports crypto adaptation”

The PWC report also noted that comprehensive crypto regulatory frameworks were accepted as law in more than 20 countries last year. Kafkas Sönmez, emphasising that global crypto regulation efforts are focused on topics such as stable cryptocurrencies, licensing and listing, and crypto framework development, said, “The most encouraging development regarding the 2023 report was the signal that the steps taken worldwide in terms of crypto regulation are indicating global adoption. The fact that countries and financial authorities are taking action on cryptocurrencies and that this activity is resulting in a legal framework gives hope that 2023 will be a year when digital assets are recognised as a globally accepted asset class. The market generally sees these developments and draws strength from them for a positive trajectory. Regulation will bring innovation, wider crypto adoption, and market resilience. 

“The best thing for the ecosystem is to act in coordination”

Kafkas Sönmez emphasised that the crypto ecosystem has painfully experienced structural vulnerabilities in crypto that can pose a risk of spreading throughout the ecosystem in recent years. He stated, “A gap and weakness in the ecosystem have the potential to affect all investors and crypto ecosystem participants. We are seeing increased interest in crypto from traditional finance in recent times. If we do not take steps to mitigate these risks today, the magnitude of future disruptions will be even greater. At this point, it is essential to emphasise the importance of global cooperation. Coordinated action by different countries in the decision-making process of regulations will yield the best results for the ecosystem. This supports decentralisation in crypto rather than opposing it. The global finance ecosystem will overcome challenges such as understanding, interpreting, and adopting crypto assets through collaboration. This will enhance financial inclusivity, allowing more people to participate in financial systems with new technologies.”

“Where money is involved, control is necessary”

Kafkas Sönmez, Gate TR CEO, also mentioned in the PwC report that Turkey was identified as the only country at the national level that did not make any progress regarding crypto. He concluded his remarks by saying, “ Turkey had earthquakes, election agendas, and other economic development on its 2023 agenda. In 2024, it’s a year where the roadmap for the economy is defined, and the goals of new economic management are clear. We believe significant developments will occur in the early months of the year. Protection of investors in every financial trading area and ensuring control where money is involved are essential. Gate TR is the first local formation of Gate.io. In Turkey, where gate.io has positioned at the centre of its global expansion strategy, we have acted according to the legal requirements in terms of both corporate structuring and localisation since the moment we took office. We have launched our applications that allow trading in Turkish Lira, with more than 150 projects listed in TL, in a manner that suits the needs of the Turkish market. In 2024, we will increase the number of projects listed in TL and set an example for the entire ecosystem by taking the necessary steps agreed upon by financial authorities. This way, we will unlock the crypto potential that the world is discussing in Turkey. Our country will fully benefit from the economic value created by crypto and Web3.