CMB Opens Share-Based Crowdfunding Communiqué For Public Consultation

Recent Development

The Capital Markets Board ("CMB") presented the Draft Communiqué on Share-Based Crowdfunding ("Draft Communiqué") for public consultation on January 3, 2019. Share-based crowdfunding regulates the raising of funds from the public in exchange for company shares through crowdfunding platforms. The Draft Communiqué introduces rules and procedures regarding crowdfunding platforms, the operations of the platforms, the membership and campaign process of these platforms, and the use of funds and venture capital companies.

What's New?

Crowdfunding Platforms

• Crowdfunding platforms ("Platform(s)") will need to apply to the CMB to be added to the CMB's list to exclusively engage in crowdfunding. Moreover, the Platforms will be required to fulfil the conditions set out in the Draft Communiqué: being established as a joint-stock company with a paid-in capital of at least TRY 1,000,000; utilizing the term "Crowdfunding Platform" in its trade name;