Binance Turkey was reportedly fined 8 million lira by the Financial Crimes Investigation Board (MASAK) for allegedly violating the Prevention of Laundering Proceeds of Crime monitoring system.
The crypto exchange failed MASAK’s Anti-Money Laundering monitoring examination on how money is obtained through unlawful means, according to the announcement.
The sanction levied against the exchange is the first since the authorities assumed responsibility for cryptocurrency regulation. Anadolu, Turkey’s state-owned news agency, said that the MASAK fined Binance’s local exchange business $751,314 without providing any details.
The authority has yet to release information on the violations discovered during the inspections. In response to the questions, a Binance spokeswoman stated that the firm does not reveal its discussions with regulators on weekends.
MASAK detected Binance Turkey for breaking the norms and regulations placed in place to combat AML operations in the country during the early phase of the law, also called as AML Law. The authority, on the other hand, levied a large sum of money on Binance Turkey as a deterrent to anyone.
Binance Turkey has become the first crypto exchange to be fined by the Turkish government, which is sad. Furthermore, this incidence occurs at the same time that Turkish President Recep Tayyip Erdoan stated that the country’s crypto law has been finished.
Meanwhile, President Recep Tayyip Erdoan announced on Friday that Turkey will soon take action to address cryptocurrencies, which have become a source of concern for many governments and central banks.
Erdoan said during a press conference in Istanbul that a law on cryptocurrencies is ready and will be debated soon in the national assembly. He also spoke about Turkey’s new economy and finance model.