Early implementation of the registration system at the exchange Why the rush What impact could it have

What happened?
Peng Chun-lung, Chairman of the Financial Supervisory Commission (FSC), confirmed during a questioning session at the Legislative Yuan’s Finance Committee on the 24th that the “Registration System for Cryptocurrency Exchange Operators”, originally scheduled to be implemented on January 1, 2025, will be launched one month earlier.
Even if operators are already on the list of compliance declarations, they must complete the registration process again. After the registration system is formally implemented, operators will have three months to complete the registration, and the system will be officially enforced nine months after registration.
At the same time, the FSC has proposed five major plans and 16 specific strategies to promote Taiwan as the asset management center in Asia, hoping to make people feel the overall institutional changes within two years.
Will the registration system be launched earlier?
Legislator Ke Ju-jun initiated a questioning session with FSC Chairman Peng Chun-lung and raised questions about the registration system for Virtual Asset Service Providers (VASP).
According to the Anti-Money Laundering Amendment Bill, the original compliance declaration was scheduled to be implemented as a “registration system” on January 1, 2025. However, there are rumors that under pressure from the Executive Yuan, it may be implemented earlier on December 1, 2023.
Ke Ju-jun pointed out that such an early change would have a significant impact on VASP operators, especially the shift from the previous compliance declaration system to the registration system, which means that if operators fail to comply, they may face not only administrative penalties but also criminal liability. This is a major transformation.
Ke Ju-jun also stated during the questioning that operators are generally willing to cooperate with the government but hope to have sufficient preparation time to ensure the smooth implementation of the new law. He further pointed out that if the government’s policies change frequently, operators will find it difficult to trust the government, which will in turn affect public trust and be extremely detrimental to the development of emerging industries.
Response from FSC Chairman: The necessity of early regulatory revisions
In response to the questioning from Legislator Ke Ju-jun, FSC Chairman Peng Chun-lung stated that the early implementation of the registration system is mainly in response to the urgent need to combat fraud in society, rather than pressure from the Executive Yuan. The most important thing is to make anti-fraud laws take effect more quickly and protect the rights and interests of the people.
However, the end of the year is the busiest period for operators, especially when complex statutory procedures such as accountant certification are required. Implementing the new system hastily may lead to operational difficulties and operator exodus. Ke Ju-jun is concerned that if the implementation is indeed advanced, it may result in a “double loss” situation for both operators and the government, thereby affecting overall trust.
In response, Peng Chun-lung stated that after the registration system is officially launched, operators will have three months to complete the registration, and the system will be officially enforced nine months after registration, minimizing the impact of the new policy on operators.
Taiwan’s Next Step: Becoming the Asset Management Center in Asia
In addition to regulating VASP operators, the FSC is also actively promoting Taiwan as the asset management center in Asia.
During his visit to the Legislative Yuan’s Finance Committee, Peng Chun-lung officially announced the government’s specific plan to “promote Taiwan as the asset management center in Asia”, hoping to make people feel the overall institutional changes within two years and relax more than 50 regulations and orders supervised by the FSC.
This includes the strengthening of asset management programs, the promotion of inclusive sustainable integration, the promotion of wealth management, the investment of funds in public construction, and the expansion of investment in Taiwan, as well as five major plans and 16 specific strategies. By loosening policies and providing incentives, the aim is to attract domestic and foreign funds into Taiwan and lay a solid foundation for future financial development.
Peng Chun-lung further stated that the FSC hopes to increase Taiwan’s asset management scale by NT$5 to 6 trillion within two years, increase it by NT$10 to 12 trillion within four years, and increase it by $1 trillion within six years, with the slogan “Feel the Changes in Two Years, See the Transformation in Four Years, and Achieve Success in Six Years”.