FSB Urges Türkiye to Set Stablecoin Rules, Tighten Oversight

The Financial Stability Board has urged Türkiye to create dedicated rules for stablecoins and strengthen oversight of crypto markets, saying existing controls do not cover key risks tied to reserves, redemptions and cross-border activity. The recommendations, published in a peer review on November 11, are advisory and do not impose new legal obligations.

The FSB called for a framework that addresses how stablecoins maintain their value, what backs them and how holders can redeem them. For foreign-issued tokens distributed through domestic platforms, it recommended stronger checks on reserve composition and transparency, including attestations and audits, as well as cooperation with issuers’ home regulators. The board also said authorities should clarify how payments and e-money laws apply to fully backed, fiat-pegged stablecoins.

The review recommended formal monitoring of crypto-related financial-stability risks, stronger supervision and enforcement, and improved information-sharing with foreign regulators. The FSB said cross-border cooperation is important because overseas issuers and supervisors may hold information needed to assess reserves, redemption practices and...