Taiwan Polishes Crypto Regulations, Plans To Ban Non-Compliant Offshore Exchanges

Zinger Key Points
  • Taiwan is drafting guidelines and catching up with international standards for crypto regulation.
  • Offshore exchanges (in case of non-compliance), anti-money laundering practitioners are all alerted.

Taiwan's financial watchdog of Taiwan drafted 10 guiding principles for virtual asset service providers (VASPs) after a public hearing for the crypto industry.

The principles, compiled by the Financial Supervisory Commission (FSC), are slated to be released by the end of September.

The principles may include a proper compliance registration of offshore crypto exchanges to operate in Taiwan. The commission plans to ban offshore crypto exchanges if they fail to comply with its requests.

Read Here: Does Banning Crypto Solve Anything? IMF Addresses How To Navigate Macro Challenges

Get more well-versed with Crypto and its updated trends at Benzinga's Future of Crypto event in NYC on Nov. 14, 2023. AI, regulations, SEC actions & institutional adoption in the crypto space, it’s all there. 

Taiwan’s regulatory approach is in line with international standards inspired by regulatory frameworks in the European Union, Singapore, and Japan.

New Guidelines Highlights: Foreign VASPs will have to register and declare their compliance with anti-money laundering (AML) regulations (introduced in July 2021) to the FSC or else they will not be allowed to conduct business within Taiwan with domestic residents.

A government official as quoted first by The Block said that the principles are likely to include strengthening information disclosure, requiring businesses to establish review standards for virtual asset listing and delisting, and ensuring the separation and custody of companies’ and customers’ assets.

Last month, Binance BUSD/USD reportedly applied to get registered in Taiwan for AML compliance. While Binance is not regulated in Taiwan, the exchange has formed a local entity named, “Binance International Limited Taiwan Branch (Seychelles)”.

Meet and engage with transformative Digital Asset and Crypto business leaders and investors at Benzinga's exclusive event - Future of Digital Assets. Tickets are flying  get yours!

Read Now: India To Lead Global Crypto Regulation Talks - Finance Minister

Image: Pixabay

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CryptocurrencyNewsTop StoriesMarketscrypto exchangetaiwan
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!