Taiwan Implements Stricter Regulations, Bans Unregistered Foreign Crypto Exchanges from Operating Today, on September 26,
Taiwan's financial regulator, the Financial Supervisory Commission (FSC), unveiled new guidelines for Virtual Asset Service Providers (VASPs)
aimed at enhancing the protection of cryptocurrency users in the country.
In March
, the FSC confirmed its position to closely regulate the cryptocurrency exchange sector to safeguard users within the state. Since then, it had worked to enforce its anti-money laundering regulations
on all crypto exchanges operating in Taiwan.
However,
the newly released guidelines specify that cryptocurrency exchanges operating under its jurisdiction must ensure the separation and protection of company treasury assets from customer assets. They also establish a new review standard for the listing
and delisting of digital assets while enhancing information disclosure.
These guidelines primarily emphasize transparency,
secure asset custody practices, and strengthening internal controls and management within cryptocurrency firms.
Moreover, foreign cryptocurrency firms seeking to operate in Taiwan or serve Taiwanese customers
must always register with the regulator and demonstrate their adherence to anti-money laundering regulations.
