Kevin

Bitcoin

Taiwan Financial Supervisory Commission (FSC) is set to tighten regulations for cryptocurrency firms, introducing new anti-money laundering (AML) requirements. Following amendments to laws in July, the FSC has drafted rules requiring virtual asset service providers (VASPs) to register by the end of September 2025. Failure to comply <a href="https://www.rti.org.tw/news/view/id/2222337" rel="noopener noreferrer nofollow">could</a> result in severe penalties, including up to two years of imprisonment.
The FSC’s <a href="https://www.fsc.gov.tw/ch/home.jsp?id=96&amp;parentpath=0,2&amp;mcustomize=news_view.jsp&amp;dataserno=202410010002&amp;dtable=News" rel="noopener noreferrer nofollow">statement</a>, issued on Wednesday, confirmed that these updated regulations are specifically aimed at VASPs, who are now required to adhere to the <a href="https://thecoinrise.com/uae-pushes-for-advanced-crypto-regulation-through-aml-rules/" rel="noopener noreferrer nofollow">new AML registration process</a>. Although firms have been subject to AML rules since July 2021, the revised regulations are stricter and will replace the existing framework, officially taking effect on January 1, 2025.
<h2 id="span-style-font-weight-400-criminal-liabilities-and-stricter-obligations-span">Criminal Liabilities and Stricter Obligations</h2>
With the introduction of these updated regulations, non-compliant firms will face serious legal repercussions. Kevin Cheng, a crypto lawyer and secretary-general of the Taiwan Fintech Association, noted that operators who do not meet these new standards will be held criminally liable. On the other hand, those who comply will face more stringent regulatory obligations.
In addition to AML requirements, the regulations will also impose higher standards for management teams, covering transaction security, consumer asset protection, and information security.
Cheng highlighted that these new rules establish higher barriers to entry for firms operating in the crypto industry, which could ultimately benefit Taiwan’s market by attracting larger investors from the traditional finance sector. Moreover, last week, <a href="https://thecoinrise.com/taiwan-fsc-greenlights-crypto-etfs-for-professional-investors/" rel="noopener noreferrer nofollow">Taiwan SEC allowed professional investors</a> to access cryptocurrency exchange-traded funds (ETFs), including Bitcoin ETFs.
<h2 id="span-style-font-weight-400-taiwan-fsc-to-propose-additional-crypto-laws-span">Taiwan FSC to Propose Additional Crypto Laws</h2>
As Taiwan’s regulatory environment tightens, the FSC is also considering drafting a specific law for crypto assets, which it plans to submit to the Executive Yuan, Taiwan’s highest administrative body, by June 2025. According to local reports, this draft law is expected to be completed by the end of this year, potentially marking another significant step toward formalizing the industry’s legal framework.
The FSC’s efforts are part of a broader initiative to align Taiwan’s crypto market with international standards. In June, local industry players formed an association to establish self-regulatory guidelines under the government’s supervision.
The post <a href="https://thecoinrise.com/taiwan-introduces-stricter-crypto-regulations-with-new-aml-requirements/" rel="noopener noreferrer nofollow">Taiwan Introduces Stricter Crypto Regulations with New AML Requirements</a> appeared first on <a href="https://thecoinrise.com/" rel="noopener noreferrer nofollow">TheCoinrise.com</a>.

Taiwan Introduces Stricter Crypto Regulations with New AML Requirements

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