What is Cryptocurrency Exchange?

A cryptocurrency exchange is a platform where users can buy and sell cryptocurrencies using fiat currencies such as the Turkish Lira or the US Dollar. On these platforms, in addition to buying Bitcoin with Turkish Liras, it is possible to execute numerous other cryptocurrency transactions—such as trading ETH coins, trading XRP coins, and trading SOL coins. For instance, Bitlo (formerly known as Binans) offers over 310 different cryptocurrency trading pairs.

In Turkey, cryptocurrency exchanges and platforms are subject to regulatory oversight and operate within the framework of the law. Bitlo—along with other reliable Turkish cryptocurrency exchanges that you can use to purchase BTC and other crypto assets—are platforms authorized to operate by the Capital Markets Board (SPK). Under the category of "Crypto Asset Service Providers," the SPK lists and licenses the cryptocurrency exchanges and trading platforms operating within Turkey.

Types of Cryptocurrency Exchanges

Cryptocurrency exchanges are fundamentally divided into two categories: centralized exchanges (CEX) and decentralized exchanges (DEX). For example, Bitlo is a centralized exchange. In contrast, DeFi platforms—such as Uniswap (UNI), 1inch (1INCH), 0x (ZRX), and Balancer (BAL)—operate as decentralized exchanges.

What is a Centralized Exchange?

Centralized exchanges are managed by a single company, and users conduct trades by transferring their cryptocurrencies into the exchange's wallets. In other words, on such exchanges, the platform acts as an intermediary. The advantages of centralized exchanges include having clearly identifiable counterparties, undergoing continuous audits by official regulatory bodies, offering fixed prices, and generally featuring more user-friendly interfaces.

What is a Decentralized Exchange?

Decentralized exchanges, on the other hand, are blockchain-based; they allow users to buy and sell cryptocurrencies directly using their own crypto wallets, without the need for an intermediary. The primary advantage of decentralized exchanges is that users retain full control over their own assets. However, transactions on decentralized exchanges typically cannot be conducted using fiat currencies; prices may fluctuate; and the interface may appear complex to many users.

SPK-Approved Cryptocurrency Exchanges and Platforms

The cryptocurrency regulation, which had been anticipated for years, officially came into force following the publication of the "Law Amending the Capital Markets Law" in the Official Gazette dated July 2, 2024.

Accordingly, it has been mandated that crypto asset service providers—including cryptocurrency exchanges operating in Turkey—must obtain a license from the CMB (Capital Markets Board). The CMB has since begun accepting license applications and has published a "List of Entities Currently in Operation." Bitlo Kripto Varlık Alım Satım Platformu A.Ş. is included in this list, which the CMB published alongside the following explanatory statement: "The list published herein has been compiled for the purpose of informing the public regarding entities that have declared their intention to operate in accordance with Provisional Article 11 of the Capital Markets Law No. 6362 (the Law). In this context, the mere existence of the 'List of Entities Currently in Operation' does not imply that the entities included therein have been authorized in accordance with the relevant legislation."

Here are the 81 entities featured on the CMB’s "List of Entities Currently in Operation"—a group that includes various banks in addition to cryptocurrency exchanges: