Major crypto seizure in Turkey gambling fight

Summary

Turkish authorities have frozen roughly €470m in crypto assets in what officials describe as the largest enforcement action linking crypto to illegal gambling. The move followed the arrest of businessman Veysel Sahin, accused of running extensive unlicensed betting operations using offshore payment schemes and crypto wallets. Prosecutors say stablecoins, notably USDT, were used to move and conceal proceeds at scale. The freeze involved wallets linked to Tether; the company says it complied with law-enforcement requests.

The enforcement sits within a broader, politically driven crackdown ordered by President Recep Tayyip Erdogan ahead of upcoming elections, and is being coordinated by MASAK, Turkey’s financial intelligence agency. Authorities plan to shift attention to cross-border facilitators in nearby jurisdictions while also targeting advertising and payment channels that support offshore operators.

Key Points

Authorities seized about €470m in crypto assets alleged to be linked to illegal gambling operations.
Businessman Veysel Sahin was arrested in connection with an alleged network of unlicensed betting services and offshore payment schemes.
MASAK is leading financial intelligence and co-ordinated enforcement across fintech, payment services and advertising.
Tether froze wallets tied to the investigation after responding to law-enforcement requests; USDT is widely used in Turkey.
The crackdown is politically timed: President Erdogan ordered intensified action against illegal gambling ahead of the next general election.
Authorities will next focus on cross-border facilitators in countries such as North Macedonia, Armenia, Georgia and Cyprus.
Experts warn offshore gambling is resilient: enforcement raises costs and friction but may not eliminate supply without legal alternatives.

Why should I read this?

Short version: this is big. If you work in payments, iGaming, compliance or crypto, this one shows regulators are now pulling stablecoin rails into AML enforcement and working directly with issuers. It signals tougher policing of ads, payment providers and cross-border funnels — and it’s happening with political muscle behind it. Worth a skim if you want to know how the game is changing.

Context and relevance

This seizure underlines several ongoing trends: rising regulatory pressure on crypto as an AML vector, increasing co-operation between blockchain service providers and national authorities, and the use of political directives to accelerate enforcement in sectors tied to election priorities. For operators and payment firms, the case raises practical risks around settlements in stablecoins, KYC/AML scrutiny and exposure via advertising and third-party facilitators.

For the broader industry, the action is a reminder that enforcement can now reach crypto settlement layers. While it may deter some operators and increase operational friction, analysts say offshore markets adapt, meaning demand-side solutions or competitive legal pathways are needed to reduce illicit supply long-term.

Author style

Punchy — this is a high-impact enforcement story that matters for compliance and payments teams. Read the detail if you need to assess risk or change controls.