The USDT stablecoin issuer Tether has announced a partnership with think tank BTguru to evaluate crypto initiatives in Turkey.

Tether Expands in Turkey

Tether, the largest stablecoin issuer by market capitalization, is deepening its presence in Turkey through a new collaboration aimed at exploring various tokenization use cases among Turkish financial lenders.

In a recent announcement, Tether stated it has signed a Memorandum of Understanding (MoU) with crypto consultancy firm BTguru. The agreement aims to develop comprehensive programs and leverage BTguru’s connections to facilitate discussions with financial institutions in Turkey.

Focus on Asset Tokenization

The stablecoin issuer is focusing on asset tokenization, with plans to explore real-world asset tokenization use cases for banks. However, it remains unclear if Tether has already initiated discussions with Turkish banks regarding real-world asset tokenization (RWA) initiatives.

RWA tokenization could potentially allocate trillions of U.S. dollars. Analysts at global consulting firm McKinsey & Company estimate that the sector’s market capitalization could reach approximately $2 trillion by 2030 under a base scenario.

Regulatory Landscape in Turkey

Tether’s partnership coincides with Turkish President Recep Tayyip Erdoğan signing a new bill into law regulating the crypto industry and outlining penalties for non-compliance. The Turkish parliament passed a crypto bill regulating crypto use, with fines ranging from $7,500 to $182,600 and prison terms of three to five years for violations.

Under the new legislation, crypto exchanges seeking to operate legally in Turkey must be licensed by the Capital Markets Board, the country’s financial regulatory and supervisory agency. Unauthorized crypto platforms offering trading services could face prison sentences of three to five years.

Additionally, crypto providers must implement and report measures such as seizures and other legal enforcement actions. Amid the approval of the bill, the Financial Action Task Force (FATF) has excluded Turkey from its β€œgrey list” for failing to supervise sectors vulnerable to money laundering.

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