 has issued its first sanctions on decentralized crypto platforms, officially banning PancakeSwap on Wednesday.){kind=link}
Türkiye’s Capital Markets Board (CMB), the country’s primary financial regulator, has issued its first sanctions targeting decentralized cryptocurrency platforms.
On Wednesday, the CMB officially banned PancakeSwap, one of the most prominent decentralized finance (DeFi) protocols, from operating in the country.
The regulator also blocked access to CryptoRadar, a crypto price comparison website. This move marks the first formal crackdown on a decentralized exchange (DEX) in Türkiye and signals growing regulatory scrutiny of DeFi platforms.
CMB Cites “Unauthorized Crypto Asset Service Provision” as Basis for PancakeSwap Ban
According to the CMB, the decision was based on the grounds of “unauthorized crypto asset service provision.”
The regulator emphasized that these platforms were providing services to Turkish users without securing the necessary approvals from local authorities.
The bans were implemented under newly expanded regulatory powers granted to the CMB in 2023.
These powers allow the agency to request the blocking of access to foreign-based crypto asset service providers (CASPs) that are not registered or licensed but continue to engage Turkish users.
Türkiye Moves to Rein In DeFi Platforms, Signaling Stricter Crypto Sector Oversight
The regulatory action underscores Türkiye’s intent to tighten its control over the rapidly evolving crypto sector, especially DeFi platforms that operate without a central authority.
The move could serve as a precedent for other jurisdictions wrestling with the decentralized nature of crypto services and their potential impact on financial stability, investor protection, and regulatory oversight.
The CMB’s decision to block access to PancakeSwap is significant as it marks Türkiye’s first regulatory action against a decentralized exchange (DEX).
This sets a precedent and signals a stricter stance toward DeFi platforms that operate without formal registration or oversight.
The move has raised concerns across the crypto industry that other major DEXs such as Uniswap, Raydium, and SushiSwap could also face similar restrictions in Türkiye.
By targeting PancakeSwap, the regulator is not only enforcing compliance but also sending a broader message that unlicensed crypto services—regardless of their decentralized nature—will not be tolerated if they target Turkish users.
It highlights an evolving global trend of tightening regulations around decentralized finance platforms.
Also Read: Turkish Treasury Tightens Anti-Laundering Rules For Crypto Asset Providers
Turkey Tightens Crypto Oversight with Comprehensive New Regulatory Measures
Turkey has significantly tightened its oversight of the crypto sector through a series of comprehensive regulatory measures.
All crypto asset service providers (CASPs) must now be licensed and registered with the Capital Markets Board (CMB), meeting strict requirements related to capital, cybersecurity, and proof-of-reserves.
The government has imposed new anti-money laundering rules, requiring identity verification for transactions over ₺15,000 (~$425), and enforced withdrawal limits on stablecoins to prevent illicit financial activity.
Additionally, the CMB now holds the authority to block access to unlicensed foreign platforms and penalize non-compliant entities.
These steps aim to align Turkey with global standards, enhance investor protection, and create a more transparent and controlled crypto ecosystem.
Also Read: Hackers Flood GitHub With Fake Projects To Spread Crypto-Stealing Malware, Details Inside