The eighth-largest economy in continental Europe is reportedly proposing a new tax on crypto transactions. According to a new report by Bloomberg, Turkey is seeking to raise taxes as a means of recovering its budget after it was ravaged by earthquakes in 2023. The plan would haul in an estimated $7 billion for the Turkish […]
The post Europe’s Eighth-Largest Economy Proposes New Tax on Crypto Transactions: Report appeared first on The Daily Hodl.
Turkish Treasury and Finance Minister Mehmet Simsek has stated that there are no current plans to impose taxes on profits from cryptocurrencies. However, he mentioned that the government is considering implementing a “very limited” transaction tax on these assets, though the specifics have not been determined. This statement was made to clarify earlier reports by […]
The Turkish parliament’s Planning and Budget Committee will discuss a draft law this week that would require crypto asset service providers to obtain licenses and register. This move aims to enhance Turkey’s compliance with the Financial Action Task Force (FATF) standards. In 2021, FATF placed Turkey on its “grey list” due to inadequate oversight of […]
Turkey is preparing to present a new law to regulate crypto assets to Parliament. The legislation, aimed at aligning with international standards and reducing risks associated with crypto transactions, will enforce strict regulations on the licensing and operation of cryptocurrency trading platforms by the Capital Markets Board. It will also ensure the safe custody of […]
Stablecoin purchases in Turkey amount to 4.3% of GDP, the highest among global economies, according to Chainalysis.
The United States may lead the world in stablecoin transaction volumes, but its share of stablecoin purchases relative to its gross domestic product (GDP) has been eclipsed by Turkey.
According to “The 2024 Crypto Spring Report,” released on April 25 by the blockchain intelligence firm Chainalysis, Turkey has the highest share of stablecoin purchases relative to its GDP.
Based on Chainalysis’ data, stablecoin buying in Turkey accounted for 4.3% of its GDP between April 2023 and March 2024, making it the world’s biggest spender of stablecoins relative to its GDP.
According to February 2024’s latest inflation data, Turkey faces an inflation rate exceeding 67%, amid ongoing currency devaluation and a declining lira against the U.S. dollar. Recent findings suggest that in an effort to safeguard their wealth, Turks are increasingly turning to gold, with smuggling hitting unprecedented levels. Additionally, there is a growing interest among […]
The ZkDay Istanbul event offered exposure and networking opportunities to new and upcoming ZK-based projects and entrepreneurs.
As zero-knowledge (ZK) technology marches its way toward solving mainstream use cases, the community backing the disruptive tech continues to grow stronger. Over 1,200 ZK developers, community members and enthusiasts, including Ethereum co-founder Vitalik Buterin, attended the latest zkDay Istanbul event.
ZK meetups attract 1,500 to 4,000 attendees, and zkDay Istanbul — as a platform for knowledge sharing and collaboration — witnessed a significant increase in enthusiasm as well. The event was built on top of the success of zkDay Paris, which attracted early-stage ZK startups and market leaders.
ZK-focused projects from various stages built connections and interacted with top members of zkDay sponsor projects, such as Manta Network, co-hosted by Polyhedra Network and =nil; Foundation. Kenny Li, the chief operating officer and co-founder of the Manta Network, spoke to Cointelegraph about zkDay. He said:
“The interest and attendance for zkDay is a testament to the community’s interest in the space, and we are excited to see that interest continuing to grow from country to country.”
Additionally, zkDay Istanbul ran alongside Devconnect 2023, an event dedicated to Ethereum community, builders and researchers.
The zkDay Pitch competition saw participation from numerous high-quality projects, many of which have previously topped competitive events such as ETHGlobal. Li anticipates future collaborations with zkDay Pitch sponsor ETHGlobal to provide greater exposure to promising upcoming projects.
Abner Jia, the CEO of Polyhedra Network, echoed Li’s optimism about the ZK community’s growth, highlighting the surge in interest in ZK technology:
“With more projects and enthusiasts joining the ZK ecosystem, it’s clear that the community is on a strong growth trajectory.”
Improving user experience remains a common goal across the ZK community as projects strive to onboard users into the next-generation consumer products. Li added:
“That’s why we are so focused on our universal circuits at Manta Pacific, where we can offer ZK-as-a-service so developers can hit the ground running, launching EVM [Ethereum Virtual Machine]-compatible decentralized applications that leverage ZK without having to figure out the cryptographic elements.”
Attendees of zkDay Istanbul highlighted the ZK community’s strong convergence to the core mission of developers, users and community in Web3 in general. Despite the surface-level differences in focus areas and priorities, such as privacy, scalability and real-world applications, the fundamental ethos of decentralization and innovation remains consistent between the two communities.
zkDay has become a tradition for @MantaNetwork and this time it took place in Istanbul.
— zkDay ️ Istanbul (Devconnect) (@zkdayofficial) November 14, 2023
Endless thanks to the 1000+ people who attended our event!✨@zkdayofficial Istanbul adventure started at the Registration Desk! pic.twitter.com/Ijg708Y15o
The year-over-year growth in the ZK dev community suggests that the future of ZK technology holds incredible promise. Jia believes that collaboration remains key for the ZK ecosystem to thrive. “We are all striving for a fair, decentralized future. Leveraging zk is just another step to get there!,” added Li.
Speaking about the future of ZK, Jia also revealed Polyhedra’s newly deployed distributed proof system on zkBridge, named deVirgo. “We are open for collaborations. Entrepreneurs looking to make a mark in this space should closely watch our progress and implementations. It’s essential to keep up with the latest developments in zk technology, as it’s a rapidly evolving field,” he concluded.
The budding ZK community is exploring use cases that can be directly applied to drive next-generation consumer products using intuitive EVM-compatible decentralized applications.
Bora Erdamar from the BlockchainIST Center emphasized that upcoming crypto regulations prioritize specific licensing standards to prevent system abuse.
Turkey is reportedly considering regulations for its crypto market, focusing on licensing and taxation. The aim is to remove the country from the “grey list” of the Financial Action Task Force (FATF), as Turkey ranks fourth globally in crypto trading.
According to a Reuters report, Bora Erdamar, a director at the BlockchainIST Center — a blockchain technology research and development center — said the upcoming crypto regulations will prioritize implementing specific licensing standards to prevent system abuse. Erdamar added that the regulations may encompass factors such as capital adequacy standards, enhancements in digital security, custody services and verification of reserves.
Turkey also aims to respond to issues highlighted by the Paris-based FATF, which, in 2021, included the country in its “gry list” of nations susceptible to money laundering and other financial crimes.
Turkey ranked fourth globally in raw crypto transaction volumes, at approximately $170 billion over the last year, behind the United States, India and the United Kingdom, according to a report from blockchain analytics firm Chainalysis.
Speaking to Cointelegraph, Mehmet Türkarslan, legal director of Turkish cryptocurrency platform Paribu, emphasized the importance of swift cryptocurrency regulation. He expressed the necessity for a regulatory framework, including licensing for virtual asset service providers, to ensure the industry’s compliance and prompt removal from the grey list.
He said:
“We, as the pioneer player of the cryptocurrency industry in Turkey, shared our expectations and the sector’s necessities from the regulation with the authorized public institutions. We know it is crucial to be delisted from the grey list as soon as possible, so we expect a cryptocurrency regulation and a license for the virtual asset service providers with it.”
Related: Turkish lira becomes top crypto trading pair on Binance in Sept. 2023
Countries on the grey list are identified as having insufficient safeguards to combat money laundering and other financial crimes. They are required to collaborate with FATF to address and rectify these deficiencies.
In October, Finance Minister Mehmet Şimşek announced that Ankara would expedite introducing new legislation for crypto assets to fulfill the remaining FATF recommendation, aiming to remove Turkey from the grey list. This status can impact a country’s investment ratings and reputation.
Magazine: The Truth Behind Cuba’s Bitcoin Revolution: An on-the-ground report
Binance picked the Bosphorus as the backdrop for Binance Blockchain Week, the flagship event in its 2023 calendar.
Binance Blockchain Week Istanbul 2023 saw global crypto exchange Binance bringing its flagship event to Turkey on Nov. 8–9, where business is conducted in the Turkish lira — a top trading pair on its platform.
While Binance CEO Changpeng “CZ” Zhao was absent from the event, the Binance c-suite, along with key executives from a full roster of event sponsors, was more than enough to turn Binance Blockchain Week into one of the most packed Web3 events Istanbul has ever seen.
As a city bridging Europe to Asia, Istanbul is no stranger to international crypto and blockchain summits. While most events pick the heart of the city for easy access and nearby hotels, Binance picked a venue on the coastline of the Bosphorus — away from the subway and many other transportation methods — to show its visitors Istanbul’s true beauty.
It’s usually not a problem to visit the main event area without a registration or to get a last-minute ticket at the entrance — at least for most events in Turkey. But, for Binance Blockchain Week, the security was tight and tickets were sold out. Binance’s event team designed a two-floor layout for over 2,000 attendees from all around the world.
Visitors were welcomed by a spacious hall that led to the upper floor, where the main stage and booths were installed. The entry floor offered various activities, including a small hair salon where visitors opted in to get the Binance logo sprayed on their hair, two old-school arcade machines and the startup-focused Innovation Stage.
The importance of the Istanbul event was evident from Binance’s perspective, as the crypto platform kept the big announcement of its Web3 wallet — not to be confused with the Binance-owned Trust Wallet — for this event.
Binance’s head of regional markets, Richard Teng, kicked off the event by introducing the Binance Web3 Wallet to 150 million Binance users.
Magazine: Exclusive: 2 years after John McAfee’s death, widow Janice is broke and needs answers
Starting on a high note, Binance Blockchain Week Istanbul provided keynotes and panels from prominent names of blockchain, crypto, Web3, gaming and entertainment gathered in Istanbul for two days. There were panels to attend or networking opportunities for people from all backgrounds and experience levels.
The big moment
— Binance (@binance) November 11, 2023
Watch when @_RichardTeng first announced the new #Binance Web3 Wallet at #BinanceBlockchainWeek!
https://t.co/tP0nOtLANQ pic.twitter.com/xEQh6YpBS5
Binance chief marketing officer Rachel Conlan told Cointelegraph that the exchange considered several cities before picking Istanbul as the destination for this year’s Binance Blockchain Week.
“The city has an incredibly vibrant crypto community, and the strong support we’ve continually received from this local community played a decisive role in our decision.”
Referencing surveys that placed Turkey among the countries with the highest crypto adoption, Conlan noted that this engagement and adoption “reaffirms our long-term commitment to investing in and nurturing the blockchain ecosystem in Turkey, making Istanbul a natural choice for our flagship event.”
The flagship event was missing Binance’s CEO, who is known to adopt a decentralized culture within Binance and even suggested that he might be willing to step down as CEO.
“Effective decentralization means not only the distribution of authority and responsibility but also visibility,” Conlan said.
Binance wants to constantly engage users and ensure consistent presence across multiple forums and regions, and having an experienced team to independently represent the company is crucial to that goal, she added.
Even though it was a Binance event, the conference included several other firms and platforms. Tron, Chiliz, Animoca Brands, Zignaly, Alchemy Pay and Trust Wallet were among the booths installed in the sponsor area.
“Binance Blockchain Week has always been about more than just Binance; it’s about building community,” Conlan explained, adding that by fostering collaborations with partners, Binance aims to extend its reach to the larger Web3 ecosystem.
Event participants were also happy with the vivid and dynamic atmosphere they encountered in Istanbul. “We are surprised by the energy and enthusiasm of the Turkey crypto community at Binance Blockchain Week,” said David Uhryniak, Tron’s head of ecosystem development, adding that the most exciting aspects of the event were the stablecoin panel and “the amazing venue next to the Bosphorus.”
More praise for Istanbul’s charm and hospitality came from Abdul Rafay Gadit, the co-founder of the crypto trading platform Zignaly. Commenting on Binance Blockchain Week, Gadit told Cointelegraph, “The event in Istanbul was a success with diverse crypto projects showcasing their long-term efforts, especially given the long bear run.”
One highlight of the event was engaging directly with developers building Web3 for the next billion users, according to BNB Chain’s head of business development, Tomasz Wojewoda. “It was fantastic to meet so many developers that are building in the BNB Chain ecosystem and hear firsthand about how they are benefiting from opBNB’s low gas fees and BNB Greenfield’s decentralized storage,” he said.
Bilal Bin Saqib, a blockchain entrepreneur who featured in Forbes 30 Under 30 Asia, told Cointelegraph that he was fascinated by the discussion on the future of blockchain. “I think the launch of Binance’s first self-custody Web3 wallet was the highlight for me,” Saqib said, noting that the launch opens “countless avenues to the future of Web3 for the masses.”
As for Conlon, the “Women in Web3” session on the Innovation Stage was a substantial highlight of the whole event. “The discussion delved into the perspectives of several industry-leading women, covering the intersection of female power and the future of technology,” Conlan said.
The sponsor area was next to the terrace, where the food and beverages were served. Despite the overwhelming crowd, a rich selection of food was always available. Aside from the main dishes, visitors were lining up to taste local delicacies such as simit (a kind of Turkish bagel), Maras-style ice cream and Turkish coffee.
Visitors from different countries get together in the food line, at the sponsor booths, and over a coffee to talk about Web3, blockchain and crypto within the context of Turkey’s role in the industry while cherishing long-awaited bullish price action in the crypto market.
Highlighting that Turkey has grown to become a significant player in the blockchain space, Binance Turkey general manager Mücahit Dönmez told Cointelegraph that the open collaboration between traditional financial institutions like Turkish banks and crypto platforms shows the forward-thinking approach of the country. “This collaborative business environment stimulates an innovation-friendly atmosphere and is good for the blockchain and crypto sector,” he added.
Recent: Can crypto Privacy Pools help balance privacy and regulation?
The declining local economy will contribute to the accelerating crypto adoption in Turkey, according to Bin Saqib. “With the Turkish Lira not showing any significant signs of recovery, I think more and more people will enter the crypto ecosystem in hopes of saving their hard-earned money,” he said.
After two days of sessions, Zhao closed out the event via video call, highlighting the crypto exchange’s efforts in compliance and how Binance is helping lawmakers create regulatory frameworks for digital currencies.
Fielding questions from the audience, the Binance CEO said that the crypto industry is moving toward decentralized finance (DeFi), adding:
“I would like to spend more of my time in DeFi, wallets, etc. I think that’s where the real technology innovation is.”
Binance Blockchain Week Istanbul 2023 allowed the Turkish crypto and blockchain ecosystem to boost its visibility through Binance’s global brand.
Bin Saqib said, “Binance has shed light on Turkey’s crypto ecosystem — something not a lot of people knew about, and this will attract other projects, investors and crypto natives to the country as well.”
Turkish Lira accounted for 75% of all fiat volume in early September, which can be tied to the recent influx of crypto investors in the Turkish market.
The Turkish Lira (TRY) became the most dominant fiat trading pair on Binance in the month of September, according to the crypto exchange’s research.
Turkish Lira accounted for 75% of all fiat volume in early September despite being the fourth-largest crypto market globally in terms of transaction volume after the United States, India and the United Kingdom, respectively.
The TRY trading pair boom can be tied to the recent influx of crypto investors in the Turkish market. 27% of the participants in Binance’s research started their journeys as crypto investors within the last year, out of which 8% joined in the last six months.
Most respondents hold up to $175 (5,000 TRY) in cryptocurrencies and prefer investing heavily in real estate. As shown below, the profitability factor is one of the biggest reasons for Turkey’s interest in crypto. Ease of monitoring, no minimum threshold and low transaction costs remain some of the notable drivers for new investors. The inherent risks associated with crypto contribute to the reluctance of many Turkish investors.
Over the last three years, crypto adoption in Turkey increased from 16% to 40%, and the country is ranked 12th on Chainalysis’ Global Crypto Adoption Index 2023. Turkey also received humanitarian aid in crypto during the 2023 earthquake.
Related: Binance launches Web3 wallet for its 150M registered users
While crypto adoption in Turkey shows no signs of slowing, the nation is reportedly drafting fresh regulations to govern crypto assets in its efforts to convince the Financial Action Task Force (FATF) to remove it from its “gray list.”
Back when the FATF placed Turkey on its gray list in 2021, Turkish Finance Minister Mehmet Simsek had clarified that Turkey adhered to all but one of the 40 standards set by the watchdog — that was related to dealing with cryptocurrencies.
Simsek cited plans to propose a crypto assets law to parliament to exit the gray list but did not specify the legal changes.
Magazine: Exclusive: 2 years after John McAfee’s death, widow Janice is broke and needs answers
