Taiwan’s Financial Supervisory Commission (FSC) has
introduced a set of stringent rules, effectively banning unregistered foreign
cryptocurrency exchanges from operating within the country. This action occurs
as part of Taiwan’s commitment to enhancing investor protection and promoting
responsible practices within the crypto industry.
The FSC has outlined key measures to regulate the
cryptocurrency market within its borders. These guidelines, released on
September 26, specifically target virtual asset service providers (VASPs)
operating in Taiwan. The rules include industry-standard practices such as
segregating the exchange’s treasury assets from customer assets and
establishing mechanisms for listing and delisting crypto assets.
Notably, the FSC has imposed strict restrictions on foreign
VASPs, preventing them from offering their services in Taiwan unless they have
received the necessary approvals and registrations from the regulatory
authorities.
“Overseas virtual asset platform operators are not
allowed to solicit business within the territory of my country or from Chinese
citizens unless they have been registered in accordance with the Company Law,
submitted to the Financial Supervisory Commission and completed a declaration
of compliance with money laundering prevention laws,” the FSC stated.
In addition to regulatory oversight, the FSC has urged VASPs
to engage in self-regulation
