Taiwan is taking steps to create new rules for the cryptocurrency industry. They are planning to make a draft of a special law and present it for the first time in November. This is according to a lawmaker.
Yung-Chang Chiang, a member of Taiwan’s parliament, thinks it’s crucial to have specific rules for cryptocurrencies. He believes that cryptocurrencies are different from traditional finance and need special regulations.
Chiang organized a meeting to talk about a draft of this new law. According to this proposal, all cryptocurrency platforms in Taiwan would need permission from regulators to operate. If they don’t have permission, regulators could make them stop working.
Currently in Taiwan, only some crypto companies need to follow rules about stopping money laundering. Most other crypto businesses don’t have many rules to follow. Chiang, a member of Taiwan’s parliament, thinks there should be new rules made just for crypto because it’s different from regular finance and needs its own special rules.
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Rules and Regulation on Crypto in Taiwan
Chiang organized a meeting to talk about these new rules. If these rules become law, all crypto companies in Taiwan would need permission from the government to work. If they don’t have permission, the government could tell them to stop working.
Chiang also said that it probably won’t become a law before the end of this year. It might become a law sometime after the middle of 2024.
This is happening because some people are worried that crypto companies are finding ways to avoid following rules and are using exchanges in other countries. Even though regulators told banks they should work with crypto companies, these companies still have trouble getting banking services in Taiwan.
The reason for making rules for crypto is because some people are worried that crypto companies are finding ways to avoid following rules and are using exchanges in other countries. Even though regulators told banks they should work with crypto companies, these companies still have trouble getting banking services in Taiwan.
People who work in the crypto industry say that rules are needed, but they should be introduced slowly and depend on how big the company is. They suggest that small crypto platforms should follow rules made by the industry after they register. But big companies should get permission and apply for financial licenses.
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