Read

Taiwan’s financial watchdog reportedly plans to launch a pilot program for crypto custody services, with three banks already expressing interest. 
<a href="https://crypto.news/tag/taiwan/" target="_blank">Taiwan</a>‘s Financial Supervisory Commission is set to launch a pilot program for <a href="https://crypto.news/tag/crypto-custody/" target="_blank">crypto custody</a> services, aiming to stimulate institutional adoption of digital assets in the region, Taiwan’s official state news agency the Central News Agency <a href="https://www.cna.com.tw/news/afe/202410080463.aspx" target="_blank" rel="nofollow">has learned</a>. 
The FSC is said to be planning to encourage financial institutions to apply for themed business trials, with three <a href="https://crypto.news/tag/bank/" target="_blank">banks</a> already expressing interest in participating, with the first applications expected in Q1 2025. 
Hu Ze-hua, director of the FSC’s comprehensive planning department, noted in a commentary to CNA that while brokerage firms had also shown interest, concerns over capital adequacy and security may lead them to partner with banks from the same group to apply for the trial. 
As part of the application process, financial institutions will need to specify the types of crypto they plan to hold as well as their target clients. Hu highlighted that foreign banks typically begin by serving crypto exchanges before expanding their services to professional and general investors. 
 You might also like: <a rel="" href="https://crypto.news/taiwan-regulator-approves-foreign-crypto-etfs-for-professional-investors/"> Taiwan regulator approves foreign crypto ETFs for professional investors </a> 
The FSC is also reportedly aiming to implement stricter anti-money laundering rules to prevent custody of assets tied to illegal activities, although specific details have yet to be revealed. Earlier in October, crypto.news <a href="https://www.cna.com.tw/news/afe/202410080463.aspx" target="_blank" rel="nofollow">reported</a> that the FSC prepared a draft of the “VASP Registration Regulations,” set to take effect on Jan. 1, 2025. The measures follow amendments to the AML Act made in July as part of Taiwan’s broader initiative to regulate its growing crypto sector. 
Unlike previous AML regulations, the new rules will specifically target crypto-related businesses, requiring entities such as crypto exchanges, trading platforms, and custodians to register and comply with enhanced anti-money laundering protocols. Once enacted, crypto providers will be mandated to submit annual risk assessment reports and establish internal control and audit systems. 
 Read more: <a rel="" href="https://crypto.news/taiwanese-court-convicts-spies-paid-in-crypto-by-china/"> Taiwanese court convicts spies paid in crypto by China </a>

Taiwan regulators mull piloting crypto custody services with local banks: report

crypto.news

Other articles published on Oct 10, 2024

Mt. Gox Extends Repayments Deadline to October 31, 2025

Bitcoin Price Plummets Toward $59K, $250M Liquidated in a Day

Ripple (XRP) Price Sentiment Plummets but Analysts Say That Can Be Bullish

QCP Capital Says Fed Meeting Minutes Released Were Less Dovish Than Expected! Here Are the Details

Ripple Launches Crypto Custody Service for Banks and Fintechs

Suirum Set To Displace $BLUB and $SUIMAN In The Sui Meme Coin Ecosystem – Here’s Your Chance to B...

Join our free newsletter for daily crypto updates!