Taiwan lawmakers are taking firm steps toward creating the country's first cryptocurrency regulation bill, with an expected submission date of November 2023.

Member of Parliament Yung-Chang Chiang emphasized the importance of specific legislation for cryptocurrency trading, given the unique nature of these assets compared to traditional financial investments.

This measure seeks to protect investors and avoid the risk of "regulatory arbitrage", especially in an international environment of increasing diversity in crypto operations.

At a recent public hearing, Chiang met with industry experts and service providers to discuss the details of the upcoming bill.

Taiwan's Financial Supervisory Commission (FSC) has already published guidelines requiring domestic cryptocurrency trading platforms to separate customer funds from company funds to prevent fraud and ensure transparency.

These guidelines also apply to foreign platforms operating in Taiwan, meaning they must register before operating in the country.

However, Chiang argues that these guidelines lack a solid legal basis and that a special crypto law will fill that void, giving regulatory authorities the ability to impose sanctions on fraudsters.

Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the writer. Images are for illustrative purposes only and should not be used for making important decisions. By using this site, you agree that we are not responsible for any loss, damage or injury arising from the use or interpretation of the information or images.