Taiwan Moves Closer to Crypto Regulation with New Draft Laws
Taiwan is advancing toward comprehensive crypto regulation with the recent release of two separate drafts for a crypto act.
The Financial Supervisory Commission (FSC) published the “Virtual Asset Service Act” last week, while lawmaker Huang Shan-shan unveiled her own version on Tuesday. Both drafts propose that all crypto platforms in Taiwan, including overseas providers, must obtain licenses to operate, setting the stage for a clearer regulatory framework.
Huang’s version of the act aims for a first reading soon, with plans to pass it by the end of 2025. The FSC is gathering public feedback on its version until May 24, intending to submit it for review by Taiwan’s cabinet by June.
While the push for regulation is gaining momentum, there are concerns over the rising compliance costs for crypto firms. Industry experts noted that the proposed regulations would likely push the operational requirements for smaller firms beyond reach. Some have suggested that a tiered approach to regulation based on company size could ease this burden.
Taiwan’s crypto regulation push comes after an unsuccessful attempt in 2023 to introduce a similar bill. This latest effort seeks to raise operational standards for crypto businesses, potentially making it harder for smaller firms to stay in business, while promising a more stable and liquid trading environment for investors.
Kosta has reported on cryptocurrency markets and blockchain infrastructure since 2020, bringing over six years of hands-on experience in the crypto industry built through daily tracking of markets, trends, and emerging blockchain developments. Specializing in Bitcoin on-chain analysis, institutional ETF flows, and digital asset price action, his work at Coindoo has been cited by other news agencies and consistently covers market developments with a focus on data-driven reporting across Bitcoin, Ethereum, Solana, and XRP. Over the years, Kosta has contributed to multiple crypto media outlets in different regions, authoring over 6,000 articles across the sector. His reporting spans cryptocurrency markets and the broader fintech industry, tracking not only price action but also the technological and regulatory forces shaping the ecosystem. To support his analysis, Kosta actively leverages on-chain data and metrics from leading platforms such as Santiment, Glassnode, and CryptoQuant, enabling deeper, evidence-based market insights. He believes in the power of transparency and the data that underpins the blockchain ecosystem. His academic background in Marketing Management from Denmark further complements his analytical approach, adding a strong understanding of communication strategy and content positioning to his work.
