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Turkey Takes Action Against PancakeSwap: Unlicensed Crypto Services Blocked

Turkey’s Capital Markets Board (SPK) has recently imposed a ban on access to PancakeSwap, citing unauthorized crypto asset services directed at Turkish residents.

This prohibition was enacted under specific articles of the Capital Markets Law, enabling the regulator to restrict unlicensed platforms within the country.

Alongside PancakeSwap, 46 websites were blocked as part of a broader enforcement effort targeting unauthorized crypto services in Turkey.

The ban came in light of concerns regarding PancakeSwap's financial activities, which include token trading and staking, without adhering to local licensing requirements.

As a result of the announcement, the price of CAKE, PancakeSwap's native token, fell by nearly 4%.

The SPK has mandated local Internet Service Providers (ISPs) to block any access to PancakeSwap, alongside any related social media accounts that facilitate these unauthorized services.

Despite the restrictions, PancakeSwap continues to operate globally, with its significant trading volume highlighting its importance in the decentralized exchange sector.

This crackdown aligns with Turkey's efforts to regulate digital asset transactions, requiring users to provide identifying information for significant transactions.

Regulatory actions like these underscore Turkey's commitment to protecting investor rights and aligning its crypto oversight with global standards.

As the landscape of cryptocurrency evolves, further measures against decentralized protocols may be on the horizon as authorities continue to adapt to the growing digital market.