Taiwanese legislators hope to release the first draft of a special law by the end of November 2023.
An official in Taiwan’s Legislative Yuan named Yung-Chang Chiang stated in an interview that he hopes to have the first draft of the law available for the parliament to study by the end of November or earlier and that such a law is “necessary” to control enterprises that deal with cryptocurrencies.
This occurs when Taiwanese politicians become more concerned about involvement in offshore markets and try to prevent “regulatory arbitrage.” According to Chiang, crypto assets must be managed by a unique regulation because they differ from conventional financial goods.
He convened a public hearing on the draft plan on October 6 in the Taiwanese parliament with academics, businesspeople, and providers of digital asset services.
This comes in response to rules issued on September 26 by Taiwan’s Financial Supervisory Commission, which pushed to strengthen investor protections for bitcoin.
The guidelines included regulations that applied to the entire sector, such as processes for examining the listing and delisting of digital assets as well as requirements for separating consumer assets from those held in exchange treasuries.
Furthermore, the regulations stipulate that international virtual asset service providers are allowed to offer their services in Taiwan with the required authorizations from national regulatory bodies. Major Taiwanese bitcoin exchanges established an association on the same day to promote sector interests.
