Chinese Taipei: Introduced Bill on Virtual Asset Management including operational licence requirement

On 25 October 2023, the Bill on Virtual Asset Management was introduced into the Legislative Yuan of Taiwan. The Bill would require entities aiming to establish a virtual asset business to ensure that their personnel do not have criminal convictions, financial issues, or involvement in dishonest activities. Furthermore, the entities will be required to obtain permission from the competent authority, complete company registration, and apply for a license within six months of receiving permission. Operating without a license can lead to fines based on the previous year's profit or loss. If a licensed virtual asset operator expands beyond their original business scope, the competent authority can issue corrective orders and impose fines for non-compliance. The competent authority is required to respond within 60 days of receiving a license application, providing reasons for approval or requesting additional information. Furthermore, virtual asset operators already in operation before this ordinance must apply for a license from the competent authority within six months of the Bill's enactment. Failure to do so may lead to an order to cease operations.