A new reform package expected to be submitted to the Turkish Parliament in the coming weeks will give prosecutors the authority to seize crypto wallets and freeze bank accounts linked to financial crimes, according to the T24 news website.
The draft of the 11th Judicial Reform Package, first reported by T24 on October 15, foresees harsher penalties for cyber-enabled financial offenses, especially those tied to illegal gambling and money-laundering schemes.
The proposed legislation also makes it a crime to rent or lease personal accounts for money-laundering purposes, punishable by up to three years in prison.
Under proposed amendments to Article 245/B-(1) of the Turkish Penal Code, providing bank or digital-payment accounts for illegal use would constitute a separate offense. Both the renter and the account holder would be liable for prosecution, even if the holder lacked intent to commit fraud. Legal analysts say the measure aims to curb the growing trend of young people renting out e-wallet or payment-platform accounts used by organized betting networks.
Revisions to the Criminal Procedure Code would also allow banks and cryptocurrency exchanges to freeze accounts suspected of containing illicit funds. Chief public prosecutors’ offices would gain direct authority to seize such assets, including digital wallets, a step meant to close investigative gaps created by the decentralized nature of cryptocurrencies.
Batıkan Erkoç, general coordinator of the Media and Law Studies Association (MLSA), told T24 that the measures respond to the widespread use of young people’s accounts in money-laundering and gambling operations. He said current law often leads to acquittals because account holders cannot be shown to have fraudulent intent, but the reform would ensure that both those who rent out and those who use such accounts face penalties.
On cryptocurrency regulation, Erkoç said the draft significantly expands the powers of banks and exchanges, granting them authority to freeze digital assets tied to investigations and allowing prosecutors to seize those holdings.
He claimed that the proposal effectively gives private intermediaries powers normally reserved for law enforcement, creating a legal basis for the confiscation of citizens’ crypto assets. He added that such authority conflicts with property-rights protections under Article 35 of the Turkish Constitution.
The proposal has raised concern among cryptocurrency advocates and financial observers, who warn that it could chill Turkey’s fast-growing crypto market amid economic volatility. Analysts have urged the government to include stronger safeguards against overreach to avoid discouraging legitimate investors.
As of October 17, the bill’s status remained uncertain. Justice and Development Party (AKP) parliamentary group chair Abdullah Güler said no draft had yet reached the party but confirmed that relevant ministries are continuing technical evaluations.
If enacted, the legislation would mark the 11th judicial reform initiative since 2019, part of Ankara’s broader effort to modernize the justice system. Previous packages focused on victims’ rights, fair-trial guarantees and alternative dispute-resolution mechanisms. The 10th package, adopted in June, sought to ease prison overcrowding through conditional release measures.