Taiwan Amends Law to Target Anonymous Cryptocurrency Transactions
Taiwanâs highest legislature has approved amendments to existing laws, enabling the countryâs regulator to combat anonymous cryptocurrency transactions.
On Friday, Taiwanâs Legislative Yuan passed a legislative proposal that mandates cryptocurrency transactions to fall under the purview of existing money laundering laws.
The amendments to the Money Laundering Control Act and the Terrorism Financing Prevention Act enables the countryâs Financial Supervisory Commission (FSC) â" Taiwanâs financial regulator â" to gather KYC information of cryptocurrency investors from trading platforms, Focus Taiwan reports.
Specifically, the regulator ânow demand that operators of virtual curr ency platforms implement âreal-name systemsâ that require users to register their real names, according to new provisions,â an excerpt from the report added.
Further, banks will also be required to report âsuspiciousâ transactions that are anonymous, to the regulator. The amendments, Taiwanâs Ministry of Justice (MoJ) said, align the countryâs laws with international anti-money laundering norms.
The revisions follow a pointed proposal by Taiwanese lawmaker Jason Hsu who, in October, sought to enforce a similar framework used by the EUâs Anti-Money Laundering Directive.
Hsu, a congressman from Taiwanâs Nationalist Party, has advocated against calls for a cryptocurrency ban and instead called on Taiwan to take a different position to the hostile stances taken by neighbouring China and South Korea.
âJust because China and South Korea are banning, doesnât mean that Taiwan should follow suit â" there is a huge opportunity for growth in t he future,â Hsu said in a parliamentary session last year. âWe should emulate Japan, where they treat cryptocurrency as a highly regulated, highly monitored industry like securities.â
As reported in October, the chairman of Taiwanâs FSC has also revealed that the regulator is preparing guidelines for regulating initial coin offerings (ICOs) in the country.
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Source: Google News Taiwan | Netizen 24 Taiwan