Taiwan’s cryptocurrency sector receives approval to establish industry association

Taiwan’s Ministry of Home Affairs has taken a significant step forward in regulating the burgeoning cryptocurrency sector by approving the establishment of a Cryptocurrency Industry Association.

The domestic cryptocurrency industry working group, which was formed last year to lay the groundwork for the creation of the association, announced last Friday that it had received government approval for its application.

The working group is now tasked with finalizing all necessary preparations in accordance with government regulations and formally establishing the cryptocurrency industry association by the end of June.

A working group of 22 cryptocurrency companies, including prominent exchanges such as MaiCoin and BitoPro, removed ACE Exchange from its rankings due to the ongoing investigation into misconduct by former executives.

Moving toward self-regulation

Taiwan currently requires cryptocurrency service providers to comply with an anti-money laundering law introduced by the Financial Supervisory Commission in July 2021, but the sector largely operates without comprehensive regulation.

In September 2023, the FSC published guidance prioritizing customer protection for cryptocurrency businesses. With the formation of industry associations, these companies aim to develop their own regulatory measures in line with the FSC guidelines.

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