"Republic of China Introduces New Crypto Regulatory Agency"

[Coinpedia Fintech News]

Big news from Taiwan: the country's top financial regulator has been announced as the main body to oversee the crypto industry in the country. This move comes as many crypto companies and exchanges are calling for more clarity and friendlier regulations in the country.

The Financial Supervisory Commission (FSC) will oversee crypto payments and transactions initially, and the official announcement on naming the financial regulator as the crypto regulatory body could come as early as the end of March. The FSC is also working with industry representatives on "self-regulation measures."

However, NFTs or "non-fungible tokens" will not come under its crypto regulatory oversight as they are still emerging as an asset class and would be regulated later if required.

It's worth noting that Taiwan had previously taken a strict approach towards crypto, banning credit card use for crypto purchases last year due to risks associated with virtual assets. But with increased crypto activity in the country after China's crypto crackdown in 2021, the demand for clearer regulations and oversight has grown.

Many crypto companies, including Binance Holdings, Matrixport Technologies, and Woo Network LLC, sent a joint paper urging regulators for more friendly regulation that provides clarity for companies operating in Taiwan. They argue that unclear rules and categorizations can make it confusing for business operators, authorities, and customers.

The FSC's Banking Bureau is working on regulatory changes and consulting with crypto exchange operators on crypto regulations. Crypto exchanges providing virtual asset trading services will be the first to be regulated under the FSC.

It will be interesting to see how Taiwan's approach towards crypto regulation evolves in the coming months, especially as other countries in the region are taking active stances towards regulating the industry. Singapore proposed tighter rules on retail crypto trading, while Hong Kong aims to become a crypto hub with crypto-friendly regulations.

What are your thoughts on Taiwan's move to increase oversight on the crypto industry? Do you think clearer regulations and oversight will help the industry grow and thrive in the country?

Let me know in the comments below!