The Financial Stability Board (FSB) released a peer review on 11 November 2026 urging Turkish authorities to draft a specific regulatory regime for stablecoins. The recommendation follows data showing that Turkey’s per‑capita demand for dollar‑pegged stablecoins outstrips every other nation, while the country’s existing crypto‑asset framework leaves a monitoring blind spot for offshore activity.

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Update, Nov 12, 05:18 UTC: According to CryptoSlate, the FSB’s recommendations are non‑binding and do not create immediate legal obligations, and the peer review only reflects reform progress up to August 2026. The report also notes that Turkey has made progress on crypto‑platform registration, licensing and custody separation, but that the country still lacks a dedicated stablecoin issuance regime and that domestic stablecoin exposures are considered modest.

Record stablecoin demand in Turkey

Chainalysis data cited by the FSB indicates that Turkish residents spent an amount equivalent to 4.3% of the nation’s GDP on stablecoins in 2024, the highest share worldwide. Dollar‑pegged tokens such as USDT accounted for roughly 17% of on‑chain transactions in 2025, driven by attempts to protect savings from inflation and to fund accounts on foreign exchanges.

Current monitoring gaps

Turkey began weekly reporting of crypto activity in early 2026 through the Crypto Asset Central Registry System (KVMKS). However, the system only aggregates data from platforms licensed domestically, missing funds held on overseas exchanges and self‑custody wallets. As a result, leveraged and derivative trading—unavailable on Turkish‑registered venues—flows to offshore platforms.

FSB’s regulatory recommendations

The Basel‑based body called for a dedicated stablecoin regime that would require issuers to keep reserves tightly linked to the reference currency, provide transparent reserve reporting, and guarantee holders a timely right to redeem tokens. The FSB also asked Ankara to publish a timeline for addressing audit capacity and custody bottlenecks that have delayed full licensing of crypto service providers.

What to watch next

Analysts will monitor whether Turkey’s regulator MASAK expands its existing caps on stablecoin transfers and how quickly the government outlines a stablecoin‑specific rulebook. The next FSB review, scheduled for mid‑2027, may assess Turkey’s progress against the recommendations.

FAQ

Why is Turkey’s stablecoin demand higher than other countries?