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  • NSN Law Bulletin

The First Permit for the Incorporation of a Digital Participation Bank

The Banking Regulation and Supervision Board (“BDDK”) Decision numbered 10165 and dated 21.04.2022 on permitting the incorporation of a digital participation bank was published in the Official Gazette dated 22.04.2022 and numbered 31817. This incorporation permit is the first one for a digital bank in terms of the Regulation on Operating Principles of Digital Banks and Banking as a Service (“Digital Banking Regulation”).


The incorporation of a digital participation bank with the title "Hayat Katılım Bankası Anonim Şirketi" with a minimum founding capital of TRY 1,500,000,000 is permitted as per the principles specified in the Digital Banking Regulation.

After the incorporation, the participation bank, which has obtained an incorporation permit under the title of Hayat Katılım Bankası Anonim Şirketi, will apply for an operating license to serve in line with the provisions specified for digital banks under the Digital Banking Regulation. It will start to serve after the BDDK evaluates the operational license application.


You may access the Decision of BDDK numbered 10165 and dated 21.04.2022 by this link.

The Digital Banking Regulation, prepared by BDDK and entered into force on 01.01.2022, introduced and legalized two new services in the FinTech sector, digital banking and banking as a service (“BaaS”). According to the Digital Banking Regulation, a digital bank refers to a credit institution that provides banking services through electronic banking services distribution channels instead of physical branches. You may reach our article on Digital Banking Regulation by this link for further information.


Authors: Bilge Derinbay, Mahmut Ramazan Ertaş


Contact: bilge.derinbay@nsn-law.com