Taiwan Initiates Industry Association to Regulate Cryptocurrency Sector

Nine crypto exchange platforms formed a group to create an industry association to regulate Taiwan’s crypto sector and together safeguard the integrity of the virtual assets industry. 

Taiwan’s cryptocurrency sector has initiated the foundation of an industry that will be associated with the regulatory authorities and is expected to release its guidelines this week. According to an official released statement, nine cryptocurrency firms have shown their interest in applying for the creation of a group in collaboration with the regulatory authorities. They also formed a joint dedicated committee to accelerate building an associated industry by mid-October.

Since the Financial Supervisory Commission (FSC) implemented anti-money laundering regulations in July 2021, Taiwan has imposed obligations on virtual asset services providers (VASPs) to comply with anti-money laundering laws. Nevertheless, with all these rigorous AML regulations, the crypto sector still needs adequate supervision to combat financial crimes. There are many crypto exchange platforms that overlook regulations. However, the FSC is standing on the edge of disclosing the strict guidelines to regulate the digital assets industry and transactions from the VASPs platform by the end of this month. 

Cryptocurrency companies are urged to create an association before these guidelines to design self-regulatory rules and align with the upcoming frameworks from the financial regulatory department. According to the working group’s draft idea, the industry association’s membership will include several varieties of crypto companies. CEO of Taipei-based crypto exchange, Wayne Huang, stated that the FSC’s latest crypto guidelines “give birth to a new industry, providing this new industry legitimacy, oversight, a solid path to grow, and an accelerated means to acquire public trust.”

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