Taiwan’s financial watchdog is introducing new crypto regulations for asset listing and record keeping, effective January 2025.
Taiwan’s financial watchdog is preparing to implement new crypto asset listing and record keeping criteria. This initiative is part of an upcoming registration regulation set to take effect in January 2025. Hsi-Ho Huang, director of the Taiwan Financial Supervisory Commission (FSC) securities firms division, announced these changes at the FinTechOn conference in Taipei.
According to the new rules, the VASPs will be subject to compliance registration. Failure to adhere to the policy would attract criminal consequences such as imprisonment for not more than two years. Currently, VASPs have applied anti-money laundering laws that stemmed from the rules adopted in July 2021, which the new regulations will replace shortly. The FSC was assigned as the leading regulator of the crypto sector at the beginning of March of the previous year.
Taiwan Sets Guidelines for ICO Token Listings and Delistings
During the conference, Huang elaborated on the additional requirements that would be released soon. The FSC wants to strengthen examinations in a number of specific fields. These areas are control of fiat money, security of information, methods of addressing customers’ complaints, documentation, and provision of information. The new regulations will also improve the general quality of the crypto market.
Exchanges will have to set up guidelines on how ICO tokens will be listed and delisted. They also have to introduce ways to address unfair trading practices and identify abnormal price and sales fluctuations. Ultimately, the goal of this focus on openness is to build a less risky trading arena for shareholders.
Besides the compliance registration rules, the FSC is working on a separate special law proposal targeting crypto assets. Jin-Lung Peng, chair of the FSC, said that the regulator is moving. The plan is expected to be presented to the Executive Yuan, Taiwan’s premier governing body, in June 2025.
This year, in March, the local cryptocurrency industry formed an industry body to work on forming a self-regulatory code of conduct as per government direction. In addition, this action shows dedication to good governance within the ever-changing environment surrounding cryptocurrency.
By doing so, Taiwan is preparing itself to effectively address and foster the development of digital assets in the country. The FSC’s efforts are a sign of its attempt to ensure a favourable environment for investors in the world of cryptocurrencies.
