KAST Suspends Turkey Card Services After SPK Order, Launches 0% FX Promotion for Global Users
KAST , the London headquartered fintech operating one of the fastest growing global expense card networks, announced on April 1, 2026 that it will suspend all card services in Turkey effective April 30, 2026 , after the country's financial regulator ordered the halt citing the absence of a valid domestic license. On the same day, KAST unveiled a 0% FX promotion offering eligible cardholders zero foreign exchange fees on local spend from April 1 through June 30, 2026, a move the company framed as a direct benefit for its international user base during a period of operational restructuring. SPK Orders Suspension Over Licensing Gap Turkey's Capital Markets Board , known locally as the Sermaye Piyasası Kurulu (SPK) , issued the directive requiring KAST to wind down card operations within the country after determining the company lacked the required SPK license to offer regulated payment card services to Turkish residents [2]. The suspension order, reported by Turkish financial outlet Haberler.com on March 30, 2026, gave KAST a narrow compliance window ahead of the April 30 deadline. The SPK has in recent years enforced stricter oversight of foreign fintech operators entering Turkey's payments market, requiring entities that issue or process cards domestically to obtain formal authorization. KAST, which processes card transactions through partnerships with international payment networks, does not hold such a license, leaving it outside the regulatory perimeter the SPK now actively polices [2]. KAST confirmed the timeline in its April 1 blog post, advising Turkish users to transition funds and complete pending transactions before the cutoff date. The company did not disclose the number of affected Turkish accounts, but noted that the exit is confined to card services within Turkey's jurisdiction and does not affect operations in other markets. Operational Scale Underlines Broader Ambitions The Turkey development arrives as KAST reports substantial growth across its global network. According to the company's most recent disclosures [1][3], the platform is processing nearly $5 billion in annualized transaction volume and has surpassed 1 million active users , with month on month growth running between 15% and 20% . The company is targeting $100 million in annual recurring revenue for 2026. | Item | Detail | | | | | Turkey Exit Date | April 30, 2026 | | Reason for Exit | No SPK license; regulatory suspension order | | 0% FX Promo Period | April 1 June 30, 2026 | | 0% FX Coverage | Eligible local card spend | | Annualized Volume | ~$5 billion | | Active Users | 1 million+ | | MoM Growth Rate | 15 20% | | 2026 ARR Target | $100 million | The company raised $80 million in a Series A funding round in early 2026 [3], capital that management indicated would be deployed toward infrastructure, licensing, and market expansion. The Turkey exit illustrates the friction that global card issuers face when entering or sustaining operations in markets with bespoke licensing regimes, even as the broader business continues to scale. 0% FX Promotion Targets Cross Border Spend KAST's simultaneous launch of a zero fee foreign exchange promotional credit is directed at users outside the Turkey restriction. Under the terms announced on April 1, cardholders making eligible local card spend in supported markets will receive FX credits equivalent to the foreign exchange margin KAST would ordinarily collect, reducing the effective cost of cross border transactions to zero for the promotional window [1]. The promotion runs for a fixed three month period, from April 1 through June 30, 2026, and is structured as a credit rather than a fee waiver, meaning the standard transaction flow remains intact while users receive a corresponding offset on their account balance. KAST did not publish a cap on total credits per user, though the company indicated eligibility criteria apply to the category of spend and the user's account standing. "We are committed to delivering the most cost effective cross border spending experience available anywhere in the world. The 0% FX promotion is a direct expression of that commitment to every eligible cardholder on the platform." [1] For a platform processing at a $5 billion annualized rate across more than a million users, a three month zero FX window represents a meaningful reduction in per transaction revenue, suggesting KAST is prioritizing user acquisition and retention metrics over near term margin as it builds toward its $100 million ARR target. Regulatory Risk and Market Selection The Turkey situation highlights a recurring challenge for fintech card issuers operating across multiple jurisdictions: regulatory environments evolve faster than licensing pipelines. Turkey's SPK has become increasingly active in requiring foreign payment service providers to obtain domestic authorization, a pattern that has also affected other European rooted fintechs seeking to serve the country's large, digitally active consumer base. KAST's decision to comply with the SPK order and exit rather than pursue an emergency licensing process reflects a pragmatic calculation. Pursuing an SPK license involves capital adequacy requirements, local entity formation, and regulatory review periods that can extend for months. Given KAST's stated focus on scaling its global footprint rapidly, redirecting compliance resources toward a single market exit appears consistent with its broader strategy of concentrating on markets where it can operate at full capacity without material licensing uncertainty [2][3]. The company has not indicated whether it intends to re enter Turkey once a licensing pathway is available. Users in the country have been advised to download transaction histories and resolve outstanding balances before April 30. References [1] KAST Blog, "0% FX Promotion Launch," April 1, 2026 https://kast.com/blog/0 fx promotion april 2026 [2] Haberler.com, "KAST Withdraws from Turkey," March 30, 2026 https://www.habe…