After Turkish crypto exchanges Thodex and Vebitcoin collapsed, Turkey is planning to establish a central custodian bank to eliminate counterparty risk. Turkey is planning to regulate its cryptocurrency market after two local exchanges crumbled within days.
The turmoil in Turkey began last Wednesday when Istanbul-based Thodex halted trading and its chief executive fled the country, setting off a manhunt. Vebitcoin, based on the southwestern city of Mugla, halted operations on Friday, citing worsening financial conditions. Ilker Bas, its chief executive officer, and three other employees were formally arrested on Monday, state-run Anadolu news agency reported.