China and South Korea’s ban on ICO (Initial Coin Offerings) and cryptocurrencies such as Bitcoin, will not impact Taiwan as they are following Japan’s interest in the regulation of the ICO’s.
Wellington Koo- the financial supervisory commission chairman of Taiwan reported to the parliament’s Joint session that the country is against the ban of ICO’s unlike China and South Korea’s ban on it. The country is therefore willing to adopt a supportive stance to the implementation and adoption of a technological advancement in the cryptocurrency and Blockchain field.
The news lens reported that Jason Hsu- legislator and congressmen of the Nationalist Party of Taiwan has also been adopting a de-regulatory policy towards a stance in Pro- FinTech.
Hsu said, since there is an immense potential for the future, they needn’t follow China and South Korea in the ban of Cryptocurrency but rather follow Japan’s plan of adopting the cryptocurrency as a well regulated and monitored company similar to securities.
The Financial Technology Innovation Experiment Act will be also passed and followed by Hsu as stated in the reports during a session in the parliament. If this bill gets implemented, the establishment of the sandbox of FinTech will be adopted in the de-regulatory space for the startup for Blockchain and cryptocurrency.
A regulatory chief of Taiwan had commented that they are willing to take a different stance during the regulation of ICO’s and cryptocurrencies mainly in a fundraising approach done by Ethereum and bitcoins.
However, in China, the central bank has made it illegal to raise funds on cryptocurrencies. In mainland of China, since the draconian legislation has banned such activities, the exchanges of bitcoin are shutting down. Whereas in South Korea, there has been a regional ban of ICO right after Chinas ban. But in Japan, there occurred acknowledgement of the Bitcoins as a legally transacted payment method starting from this year onwards.
In Taiwan, after the crippling of the regulations, there was a warning from the watchdogs and investors from all over the world that lead to a chain reaction. Hsu stated in the Financial Times that he is tensed about the fact that, with the ban on China and South Korea, the hot cash might leap up in the real estate and the stock markets of Taiwan. According to the reports of FT, Taiwan being joined by China and South Korea will not be a friendly approach right after the blanket ban said the authorities of Taiwan.