FATF pressure and Turkey’s new crypto account freeze plan signal African regulators may adopt similar powers against financial crime.
Turkey is preparing legislation empowering its financial crime watchdog, Masak, to freeze both bank and crypto accounts linked to suspicious activity. The move aligns with Financial Action Task Force (FATF) recommendations to curb money laundering and terrorism financing.
This development is significant for Africa, where many nations are FATF members or under scrutiny for weak compliance. Nigeria, Kenya, and South Africa already face pressure to strengthen oversight, and freezing powers for regulators appear increasingly likely. Authorities could soon demand stricter KYC, impose wallet blacklists, and even extend controls to stablecoins and cross-border transactions.
While supporters argue such measures could boost investor confidence and legitimize crypto in banking systems, critics warn of political misuse, financial exclusion, and innovation slowdowns. The challenge for Africa will be balancing compliance with growth in its booming crypto sector.
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