The increasing use of crypto-assets in financial markets has created a need for a specific regulatory framework under Turkish capital markets law. Crypto-assets are not merely digital values used for investment purposes. They are also connected to custody, transfer, trading, market supervision, investor protection and technological infrastructure security.

The first main statutory regulation on crypto-assets in Turkey was introduced through Law No. 7518 on Amendments to the Capital Markets Law. With this law, several key concepts such as crypto-assets, crypto-asset service providers, platforms, custody services and wallets were incorporated into the Turkish Capital Markets Law No. 6362.

This legal development marks an important turning point in Turkish crypto-asset law. It shows that crypto-assets are no longer treated as an entirely unregulated area. Instead, the Turkish legislator has placed certain crypto-asset activities within the regulatory and supervisory framework of capital markets law.

The Role of Law No. 7518 in Turkish Capital Markets Law

Law No. 7518 mainly aims to adapt the Turkish capital markets framework to developments in crypto-assets and digital financial markets. The law introduces basic rules on the issuance of capital market instruments as crypto-assets, the activities of crypto-asset service providers, the supervision of platforms and the protection of client assets.

The main purpose of this regulation is to ensure that actors operating in the crypto-asset market act within a defined legal framework. In this respect, the law seeks to enhance market reliability, protect investors, safeguard client assets and make crypto-asset service providers subject to regulatory supervision.

Therefore, Law No. 7518 may be regarded as the starting point of statutory crypto-asset regulation in Turkey. However, the law does not regulate every detail by itself. Many technical and operational matters are left to secondary regulations to be issued by the Turkish Capital Markets Board.

The Legal Definition of Crypto-Assets

Law No. 7518 provides an express definition of crypto-assets under Turkish law. According to the amended Capital Markets Law, crypto-assets are intangible assets that can be created and stored electronically by using distributed ledger technology or similar technology, distributed through digital networks and capable of expressing value or rights.

Three elements of this definition are particularly important. First, the definition emphasizes the technological basis of crypto-assets. Second, it refers to their distribution through digital networks. Third, it characterizes crypto-assets as intangible assets capable of expressing value or rights.

The use of the term “intangible asset” is significant under Turkish law. It indicates that crypto-assets are not physical objects, but they may still have economic and legal value. This approach may become important in the future in relation to private law, enforcement law, inheritance law, criminal law and tax law.

Crypto-Asset Service Providers

One of the most important concepts introduced by Law No. 7518 is the crypto-asset service provider. Under Turkish law, this concept includes platforms, institutions providing crypto-asset custody services and other entities that may be designated by secondary regulations as providing services in relation to crypto-assets.

This definition shows that the crypto-asset market is not limited to trading platforms. Custody service providers, technical infrastructure providers and other entities to be determined by future regulations may also fall within this framework.

Under Turkish law, the establishment and operation of crypto-asset service providers are subject to the authorization of the Capital Markets Board. These entities must also meet certain requirements regarding information systems and technological infrastructure. This demonstrates that regulatory supervision in the crypto-asset market is not limited to financial capacity. Technical security has also become a central element of regulation.

Crypto-Asset Platforms

Under Turkish law, platforms are among the central actors of the crypto-asset market. Platforms may be understood as entities where crypto-assets are bought and sold, initially sold or distributed, exchanged, transferred and where custody-related activities required by these transactions may be carried out.

Therefore, platforms are not merely technical infrastructures. They are also the main structures through which users access their assets, place orders, conduct transactions and participate in market activity.

For this reason, the regulation of platforms is particularly important for investor protection. The operating principles of platforms, protection of client assets, transaction security, record keeping, prevention of conflicts of interest and market supervision are among the key issues of Turkish crypto-asset law.

Crypto-Asset Custody Services

Custody services in crypto-asset markets have different technical characteristics compared to traditional custody services in financial markets. Access to crypto-assets is usually controlled through private keys. Therefore, custody does not only mean holding an asset. It also means securely protecting the technical elements that provide access to that asset.

Under Law No. 7518, crypto-asset custody services include the custody and management of platform clients’ crypto-assets or the private keys that provide the right to transfer such assets from wallets, as well as other custody services to be determined by the Capital Markets Board.

This definition is important for the protection of client assets. Loss of crypto-assets, unauthorized access to private keys or unlawful transfers may have serious consequences for investors. Therefore, the technological infrastructure, internal control mechanisms and liability regime of custody service providers will be crucial in practice.

The Definition of Wallet under Turkish Law

One notable feature of Law No. 7518 is that it expressly defines the concept of a wallet. A wallet is defined as software, hardware, systems or applications that allow crypto-assets to be transferred and that enable the online or offline storage of crypto-assets or the private and public keys relating to them.

This definition reflects the technical structure of crypto-assets in statutory language. In crypto-asset disputes, the main question is often not only who owns the asset, but also who has actual control over access to that asset.

Issues such as who holds the private key, how the wallet is managed, whether the assets are stored online or offline, and who has transfer authority may become decisive in legal disputes.

The Regulatory and Supervisory Role of the Capital Markets Board

Law No. 7518 grants broad regulatory powers to the Turkish Capital Markets Board in relation to the crypto-asset market. Matters such as the establishment, operation, shareholding structure, management, capital adequacy, information systems, technological infrastructure and suspension of activities of crypto-asset service providers fall within the regulatory authority of the Board.

This means that Turkish crypto-asset law is not limited to the text of the statute. The practical framework of the market is expected to be shaped by secondary regulations, board decisions and administrative practice.

In this respect, crypto-asset service providers operating in Turkey must follow not only the Capital Markets Law itself, but also the secondary regulations and announcements of the Capital Markets Board.

The Importance of the General Reasoning of the Law

In technical and newly developing areas such as crypto-assets, the general reasoning of a law may be as important as the statutory text. Some concepts may not be fully regulated in the text of the law, but the general reasoning may provide guidance as to the purpose and direction of the regulation.

The general reasoning of Law No. 7518 states that crypto-assets cover a broad range of products. This is an important observation. Crypto-assets are not a single homogeneous category. Some may function as payment tools, some may have investment characteristics, some may provide access to a service, and others may be connected to digital content or intellectual property rights.

For this reason, Turkish law may need to introduce more detailed classifications of crypto-assets in the future. The general reasoning of the law may serve as an interpretative source in this process.

The Need for Further Development in Turkish Crypto-Asset Law

Law No. 7518 is an important starting point for Turkish crypto-asset law. However, considering the complexity of the crypto-asset market, basic definitions alone will not be sufficient to regulate the entire field.

In practice, new legal issues are likely to arise in relation to the protection of client assets, liability of platforms, technical standards for custody services, market abuse, record keeping, consumer and investor rights, cybersecurity, advertising activities, attachment of crypto-assets, inheritance of crypto-assets and taxation.

Therefore, the development of Turkish crypto-asset regulation is likely to continue gradually. Law No. 7518 has created the first statutory basis, while more detailed rules are expected to develop through secondary regulations and practical needs.

Conclusion

The amendments made to the Turkish Capital Markets Law constitute an important milestone for the legal status of crypto-assets in Turkey. With Law No. 7518, crypto-assets were defined at statutory level for the first time, and key concepts such as crypto-asset service providers, platforms, custody services and wallets were incorporated into Turkish capital markets law.

Nevertheless, given the technical and economic complexity of crypto-asset markets, further detailed regulation will be necessary. The secondary regulations of the Capital Markets Board show that this process has already begun.

The main objective of Turkish crypto-asset regulation is not to leave the market entirely unrestricted. Rather, it is to protect investors, ensure market reliability, supervise service providers and secure technological infrastructure. For this reason, persons and entities operating in the crypto-asset sector in Turkey should closely follow not only technological developments but also regulatory developments under Turkish capital markets law.