Taiwan’s financial regulatory authority, the Financial Supervisory Commission, announced new guidelines for cryptocurrency platforms today. They state that these new guidelines aim to enhance customer protection and financial security. Additionally, they are introducing a set of regulations for virtual asset service providers (VASPs) in Taiwan.
Customer Assets to Be Safeguarded
The published guidelines require cryptocurrency platforms in Taiwan to keep and safeguard the assets of companies and customers separately. They also mandate setting review standards for the listing and delisting of virtual assets and strengthening disclosure of information.
“Engaging in transactions involving virtual assets or virtual asset businesses with features similar to securities in derivative financial products is not allowed.”FSC
A Safer Crypto Sector Ahead
The Financial Supervisory Commission stated that with these new regulations, they aim to contribute to making the cryptocurrency sector in Taiwan more transparent and secure. They also emphasized that these regulations are intended to better protect Taiwanese citizens and investors.
Finally, the published guidelines also note that foreign virtual asset platform operators not registered in Taiwan and not compliant with Anti-Money Laundering regulations will not be allowed to operate in Taiwan and target Taiwanese citizens.
Source: The Block