The Financial Stability Board (FSB) has recommended establishing regulatory frameworks for stablecoin issuers, covering reserves and redemption rules in its latest report on Turkey, released on November 11, 2026. Highlighting Turkey’s substantial oversight of the cryptocurrency market, the Board urged the announcement of a timeline for platforms’ transition to full licensing and closer scrutiny of overseas transactions. The review encompasses developments up until August 2026.
Turkey Nears $200 Billion in Crypto Trading Volume
Chainalysis data presented in the report positions Turkey among the world’s top 20 largest crypto markets, recording nearly $200 billion in transaction volume in 2025. Turkey leads the Middle East and North Africa regions in this sector. Over 5.3 million unique account holders report having more than 7.1 million crypto accounts, with 51% of them maintaining a balance. Domestically hosted crypto assets were valued at approximately $3 billion in 2026.
The market driven by individual investors mainly seeks gains from price movements. Dollar-pegged stablecoins, primarily USDT, are sought after for hedging against the depreciating Turkish lira and inflation or transferring funds to overseas platforms. As domestic platforms are limited to spot trading, users seeking leveraged trades or derivative products often resort to foreign platforms. CoinDesk’s data included in the report highlights Binance Global’s approximately 70% market share in Turkey during the first quarter of 2026.
Proposed Reserve and Redemption Rules for Stablecoins
Blockchain data from 2025 reveals that dollar-pegged stablecoins accounted for 17% of transactions. The only stablecoin issued by a local entity, BiLira (TRYB), has a market capitalization of about $5.9 million. Trading and safekeeping of stablecoins fall under general crypto regulations. The Financial Crimes Investigation Board (MASAK) has set daily and monthly limits of $3,000 and $50,000, respectively, on certain stablecoin transfers.
FSB suggests that issuers establish mechanisms to maintain the stablecoin’s value close to its reference currency and manage reserves transparently. Providing users with a timely right to convert stablecoins back to their equivalent currency is among the recommendations. The Board also advocates stronger reserve content and supervision conditions for local platforms distributing foreign-issued currency-pegged stablecoins.
Use of crypto assets for payments is legally prohibited in Turkey. Recent amendments in electronic money regulations allow certain stablecoins to be considered equivalent to electronic money. The practice will be clarified with rules from the Central Bank of Turkey (CBRT). FSB recommends clarifying the relationship of new regulations with payment laws and maintaining measures preventing the domestic use of currency-pegged stablecoins in payments.
Licensing Transition Faces Delays
July 2024 legislative reforms brought crypto service providers under the Capital Markets Board’s (SPK) surveillance with requirements for capital, liquidity, and custody. At least 95% of assets held on behalf of customers must be stored in authorized institutions by the day’s end. SPK has completed initial on-site inspections. Delays stem from technology audit capacity issues, prolonged TÜBİTAK reviews, and challenges in finding authorized custody institutions, slowing the licensing process.
FSB calls for a detailed timeline for each transition stage from provisional registration to full licensing, addressing inspection firm delays. Suggestions also include standardizing reports on reserve proofs and operational incident notifications. By the end of June 2026, six banks received preliminary approval from the Banking Regulation and Supervision Agency (BRSA) for crypto custody services, with SPK deeming three banks suitable for this service. FSB advocates evaluating banks and subsidiaries’ crypto asset risks under Basel’s SCO60 standard.
Data Sharing for Risk Monitoring
The Crypto Asset Center Registration System (KVMKS) began weekly reporting in early 2026, aggregating domestic platform data. However, assets held on foreign platforms and user-controlled wallets fall outside its scope. FSB urges addressing delays and incomplete submissions while backing local records with blockchain analyses and cross-border transfer data.
The report notes that the proliferation of dollar-pegged stablecoins could increase demand for digital dollars and foreign currencies, potentially heightening the volatility of capital flows and weakening monetary policy effectiveness. Turkish authorities currently view these risks as limited. FSB recommends regular monitoring of household crypto investments, foreign exchange flows, and crypto companies’ banking relationships.
The Board stresses the importance of Turkey prioritizing the full implementation of international recommendations concerning crypto assets and global stablecoins. Regular information sharing and joint risk assessments under the Financial Stability Committee and strengthening cooperation with institutions supervising foreign stablecoin issuers are also among the report’s recommendations.
Implications for Users
Ultimately, the FSB’s report is advisory. For crypto users in Turkey, the enactment of new rules relies on regulatory actions by authorized local bodies. Should these recommendations be adopted, new obligations will primarily affect stablecoin issuers and crypto platforms. For users, the range of stablecoins available on local platforms and the conditions under which these can be converted to equivalent currencies may change.
