In a significant move to enhance the oversight and security of the cryptocurrency industry, the Taiwan Financial Supervisory Commission (FSC) has officially released the “Guiding Principles for the Management of Virtual Asset Platforms and Transaction Business Enterprises (VASP)” on September 26, as stated on the official website.
FSC Introduces Comprehensive Taiwan‘s Crypto Guidelines
Under these newly unveiled Taiwan’s crypto guidelines, domestic cryptocurrency platforms are now required to implement several key measures to ensure the safety and transparency of their operations. These measures include the separation and secure custody of both company and customer assets, the establishment of rigorous review standards for virtual asset listings and delistings, and the reinforcement of information disclosure.
Moreover, platforms issuing virtual assets must now disclose comprehensive whitepapers on their websites, providing investors with crucial transparency. Additionally, to safeguard client assets, platforms are mandated to segregate legal currency and virtual assets received from clients from their own assets.
Local Exchanges Collaborate Toward Cryptocurrency Industry Association
Taiwans crypto guidelines also emphasize the implementation of customer protection regulations founded on principles such as fairness, reasonableness, equality, reciprocity, and integrity. To guarantee ongoing security and reliability, platforms will establish robust management systems for their day-to-day operations, information security, and the safeguarding of hot and cold wallet private keys.
In a related development, it has been reported that nine cryptocurrency exchanges in Taiwan have jointly formed a working group aimed at paving the way for the establishment of a cryptocurrency industry association, underscoring the sectors commitment to self-regulation and collaboration.