Taiwan to Implement New AML Rules Tomorrow

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The Financial Supervisory Commission of Taiwan has announced that it will implement stricter anti-money laundering regulations on November 30, a month ahead of its original timeline. This move is in line with the commission’s ongoing efforts to prevent fraud.

The new regulations require all providers of crypto services, including exchanges, to complete an AML compliance registration.

Failure to comply may result in penalties, including imprisonment of up to two years and a fine of up to NT$5 million ($153,700). In a statement released on Wednesday, the FSC also stated that overseas virtual asset service providers (VASPs) must establish a company or branch office in accordance with Taiwan’s Company Act and complete the necessary AML registration before conducting operations in Taiwan. These regulations were introduced following amendments to existing laws in July.

According to Jin-Lung Peng, the chair of the FSC, the decision to expedite the implementation of the AML system was driven by society’s urgent demand for stronger measures against fraud. Peng also mentioned that the VASP registration system is part of a larger legal framework aimed at combating fraud.