- The financial regulator will be officially named the crypto regulatory agency in the near future.
- It will regulate cryptocurrencies, but non-fungible tokens (NFTs) will not be included.
In response to growing calls for government oversight of the cryptocurrency sector. Taiwan, officially the Republic of China (ROC) on Monday appointed its top financial regulator as the primary agency responsible for doing so.
Chairman of the Financial Supervisory Commission Huang Tien-mu has said that the financial regulator would first regulate crypto payments and transactions. It is possible that by the end of March, the financial regulator will be officially named the crypto regulatory agency.
According to Reuter’s article, the cabinet and the Financial Supervisory Commission (FSC) of Taiwan are in talks with other government agencies to work on effective regulation of crypto. The FSC will also collaborate with industry leaders on “self-regulation measures.”
It will regulate cryptocurrencies, but non-fungible tokens (NFTs) will not be included. According to the regional press, NFTs are still in their infancy as an asset class. And might be subject to regulation in the future.
More Proactive Approach
Taiwan intends to enhance regulation of the sector in response to the region’s more proactive approach. Hong Kong hopes to become a crypto center by adopting crypto-friendly regulations. While Singapore has suggested stricter controls on retail crypto trading.
Firms operating in the cryptocurrency industry, like exchanges, are lobbying for legislation that is beneficial to their industry. On Saturday, Binance Holdings, Matrixport Technologies, and Woo Network LLC filed a joint document to Taiwanese authorities, asking for more business-friendly regulations that would give clarity for enterprises doing business in the country.
The Financial Services Commission’s first focus will be on crypto exchanges that facilitate the trade of virtual assets. The Banking Bureau of FSC is working on regulatory adjustments and talking with crypto exchange companies.