Türkiye to end cash transactions in gold trade under new tracking system

ISTANBUL

Türkiye will introduce a comprehensive digital tracking system for precious metals in April, effectively ending cash transactions in gold trading and requiring all purchases and sales at jewelry shops to be conducted through banks, credit cards or bank transfers.

Called the Precious Metal Tracking System (KMTS), the new framework has been developed by the Turkish State Mint within the Treasury and Finance Ministry.

Under the new system, all gold sold in Türkiye, from one gram to one kilogram, will be required to carry an official Mint-issued banderol and certificate.

Each banderol will include a unique serial number, allowing authorities to track the gold’s origin, producer and entry into the market in real time.

Authorities say the system aims to curb the informal economy, combat counterfeit gold and strengthen oversight of the gold market.

With the new system, buyers will have to pay via bank transfer, credit card or debit card.

When individuals sell gold to a jeweler, an invoice will be issued in their name and the payment will be transferred directly to their bank account.

The system will also extend to high-value purchases made using proceeds from gold sales.

Banks will require documentation showing how the gold was acquired when customers attempt to deposit large sums obtained from selling gold, such as for buying property.

Funds that cannot be properly documented will not be accepted.

According to Jewelry Exporters’ Association President Burak Yakın, that is the primary challenge within the system.

“When you take that gold to the bank, they will demand a declaration form, asking, ‘Where did these funds come from?’ Only if you can provide proof — showing that you sold a house, a car or had registered gold — will the bank accept the deposit,” he explained. “Otherwise, they simply won't."

Yakın underlined that the system would fundamentally change how the sector operates.

"Every gold sale at a jeweler will now be formally invoiced, with payments processed directly through bank accounts. Similarly, when citizens purchase gold or bracelets, they will transfer the funds via bank wire — ensuring every transaction is fully documented,” he said. “The transition to this system will be implemented in phases.”

He added that the new rules would operate under the supervision of Türkiye’s Financial Crimes Investigation Board (MASAK) and represent a key step in efforts to prevent money laundering.

Participation in the system will be mandatory for all jewelers once it takes effect in April.