Taiwan Enacts Comprehensive Cryptocurrency Regulation Law, Introduces Licensing for Stablecoins

On June 30, Taiwan's Legislative Yuan passed the 'Virtual Asset Service Law,' a new legislation that comprehensively regulates cryptocurrency-related service providers. The law legally defines seven types of operators, including cryptocurrency exchanges and custodians, and mandates that issuing stablecoins requires the consent of the central bank and permission from Taiwan's Financial Supervisory Commission (FSC). The FSC, through this legislation, enhances its oversight of cryptocurrency operators from merely 'anti-money laundering' measures to encompassing 'business operations and market order.'