Taiwan defies neighbouring countries as it seconds Japan in welcoming, regulating, and nurturing cryptocurrencies.
Taiwan has declared that there will be no upcoming ban for cryptocurrencies in their country despite China’s recent crackdown. Taiwan will in fact, foster and regulate blockchain innovations—cryptocurrencies and ICOs (initial coin offerings) included.
In June this year, the Taiwan government’s executive branch, Executive Yuan, approved the draft for the Financial Technology Innovative Experimentation Act which seeks to “to establish a mechanism for financial technology innovative experimentation, create a safe environment for Fintech R&D activities and pilot tests for financial service industry and related industries” while ensuring consumer protection and financial market order.
Part of the bill’s advocacy is also to promote “responsible innovation,” and provide adaptable regulations to nurture Fintech business incubation. And it seems the government is staying true to the bill’s pledge—even before it gets passed, which according to Nationalist Party congressman Jason Hsu should be happening soon. The blockchain industry has been developing rapidly, and with several organizations launching further research to maximize its potential uses, Taiwan is not letting itself get left behind despite pressure from its neighbours. Instead, the small nation is echoing Japan’s future-forward stance.
“Just because China and South Korea are banning, doesn’t mean that Taiwan should follow suit – there is a huge opportunity for growth in the future. We should emulate Japan, where they treat cryptocurrency as a highly regulated, highly monitored industry like securities.”
Taiwan’s Financial Supervisory Commission (FSC) chairperson Wellington Koo made the announcement at a parliamentary session, stating that the government will even support innovators in experimenting with blockchains and cryptocurrencies.