Binance Ends Turkey Referral Program Over Regulations

Binance, a cryptocurrency exchange, has terminated its retail referral program in Turkey mere months after registering its services with the local regulator

Binance, a cryptocurrency exchange, has terminated its referral program for retail customers in Turkey to comply with local regulations. This announcement was made just months after the exchange and other trading platforms registered their services with Turkey’s Capital Markets Board.

Binance stated on Wednesday, October 23, that the relocation was required to adhere to “local law and regulation.” The company assured users that there would be no additional modifications to the platform despite the termination of the referral program.

The press release states that commissions will continue to be paid to existing referrers in Turkey for invitees who registered before the program’s termination.

The termination is consistent with Turkey’s changing position on cryptocurrency regulation, particularly in light of the recent approval of a comprehensive crypto bill that mandates stringent compliance requirements.

The legislation, supported by the ruling party’s chairman, Abdullah Güler, imposes severe penalties for noncompliance. These penalties include fines of up to $182,600 and potential prison sentences for unauthorized exchanges.

Consequently, numerous international crypto firms have hurried to obtain licenses, with 47 exchanges submitting applications to operate legally in Turkey.

Vice President Cevdet Yilmaz of Turkey verified in September that the government will not tax profits from crypto or stock trading this year, despite having previously considered such a tax.

Rather, the emphasis has shifted to improving current tax regulations, with a particular emphasis on the “narrowing” of tax exemptions, in response to the Turkish stock market’s decline earlier this year.