• Taiwan is appointing its top financial regulator to increase oversight of the crypto sector.
• The new regulatory body will focus on regulating crypto payments and transactions.
• The banking bureau of FSC is working on regulatory adjustments and talking with crypto exchange companies.
Taiwan Appoints Regulatory Body To Increase Oversight Of Crypto Sector
Taiwan, officially the Republic of China (ROC) on Monday appointed its top financial regulator as the primary agency responsible for increasing government oversight of the cryptocurrency sector. 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.
Regulations to Focus On Crypto Payments & Transactions
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 in order to ensure effective regulation when it comes to cryptocurrencies such as Bitcoin and Ethereum, but non-fungible tokens (NFTs) are not included in this scope.
Reaction To Growing Calls For Government Oversight
In response to growing calls for government oversight of the cryptocurrency sector, Taiwan intends to enhance regulation of this industry through a more proactive approach than other countries in Asia like Hong Kong who hopes to become a crypto center by adopting crypto-friendly regulations or Singapore who have suggested stricter controls on retail trading activities involving cryptocurrencies.
Industry Leaders Lobbying For Regulations Beneficial To Their Industry
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 Taiwan regarding cryptocurrency trading activities.
Conclusion
It appears clear from these recent developments that Taiwan has taken an important step towards creating more favorable conditions for businesses looking to operate within their jurisdiction when it comes to dealing with cryptocurrencies such as Bitcoin and Ethereum. It remains unclear whether NFTs will eventually be subject to regulation in Taiwan or not but all signs point towards a bright future when it comes to increased government oversight over this sector which should help create an environment conducive for innovation while also protecting investors‘ interests at heart.