FSC Taiwan is looking to integrate crypto with existing financial systems
The FSC recently fined MaiCoin and BitoPro for AML violations
Photo Credit: Unsplash/ Roméo A
Taiwan is taking regulatory steps to govern its growing crypto sector. In a recent move, the country has made compliance with anti-money laundering (AML) laws mandatory for crypto firms. With the crypto ecosystem expanding, Taiwan has become a hub for Web3 initiatives. According to Statista, Taiwan's crypto market is projected to grow at an annual rate of 7.75 percent from 2024 to 2028.
This week, Taiwan's Financial Supervisory Commission (FSC) announced that all crypto firms currently operating or planning to establish businesses in the country must submit for AML registrations. The FSC has expedited the registration deadline, moving it up to November 30, 2024, from the original date of January 1, 2025, as reported by CoinTelegraph reported citing information from official documents.
“Enterprises or persons established overseas to provide virtual asset services may not provide virtual asset services within my country unless they have registered the establishment of a company or branch in accordance with the company law and completed money laundering prevention registration,” the English translation of the official document printed in Mandarin said.
Virtual Assets Service Providers (VASPs) who are found to be in violation of FSC's instructions could reportedly face up to two years in prison or a fine of up to TWD 5 million (roughly Rs. 1.30 crore).
Under Taiwan's anti-money laundering regulations, companies must provide details on the measures they are implementing to prevent the use of their platforms for the movement of illicit funds via cryptocurrencies. Crypto exchanges are also required to monitor and report the names, account details, and locations of suspicious customers to the government in a timely manner.
The accelerated deadline for AML registrations in Taiwan follows recent fines imposed by the FSC on exchanges MaiCoin and BitoPro for AML violations.
The FSC is intensifying its oversight of crypto activities in Taiwan as it seeks to integrate Web3 services into the nation's financial ecosystem. In October, FSC official Hu Zehua stated that the regulatory body is open to involving financial institutions in pilot programs for virtual asset custody services, following growing interest from private lenders in this area.
Similarly, countries like India and Japan have also mandated AML compliance for crypto firms. These regulations require crypto companies to assist law enforcement in monitoring and addressing potential criminal activities within the crypto space.
Understanding Crypto Airdrops: The Process, Pros and Problems27 March 2025
Search
![Gadgets 360 With Technical Guruji: Ask TG [ March 22, 2025]](https://c.ndtvimg.com/2024-12/5s52e4k_-ask-tg_640x480_14_December_24.jpg?downsize=180:*)
