Taiwan’s Financial Supervisory Commission (FSC) is considering allowing crypto exchange-traded funds (ETFs) in the country.
They’re in the early stages of exploring this idea and keeping a close eye on how these ETFs are doing in other countries.
According to a report in a Taiwanese newspaper, the FSC is watching what’s happening in the United States, where they’ll review Bitcoin spot ETFs soon. They’re also considering the examples set by Canada and Australia, where local exchanges are already trading crypto ETFs.
The FSC has noticed the launch of several cryptocurrency futures commodities on various major stock exchanges like the Toronto Stock Exchange, New York Stock Exchange, NASDAQ Exchange, Cboe, and Hong Kong Stock Exchange.
They want to make rules for trading digital assets more flexible gradually, but for now, they’re sticking to a mix of “self-discipline and regulation.” In the past years, Taiwanese regulators have stopped local investment banks from starting crypto ETFs because cryptocurrencies can be very unpredictable.
Cointelegraph has contacted the Financial Supervisory Commission for more details.
Last fall, there was a lot of progress in Taiwan regarding crypto regulations. In October, local lawmakers made the Virtual Asset Management Bill, which has some sensible rules for companies that provide virtual asset services. It says they should keep customers’ money separate from their own, and it doesn’t force stablecoin creators to have the same amount of reserve funds as the coins they create, and it doesn’t ban algorithmic stablecoins.
In September, the FSC made rules for VASPs, stopping foreign companies that don’t have a license, and many local crypto exchanges have made a group to regulate themselves.
