Taiwan Mobile, the second-largest telecommunications provider in Taiwan, has reportedly been granted a Virtual Asset Service Provider (VASP) license by the Financial Supervisory Commission (FSC) of Taiwan. This development paves the way for Taiwan Mobile to establish its own cryptocurrency exchange.
According to local sources, Taiwan Mobile, also known as Taiwan Big Brother in Chinese, becomes the 26th company to receive a VASP license. The company has been exploring opportunities in the cryptocurrency market for over a year, as reported by Bloomberg, which suggested Taiwan Mobile’s interest in acquiring an existing exchange. The license was issued under the name Fusheng Digital, a subsidiary of Taiwan Mobile, both under the leadership of Lin Zhichen.
In order to obtain the VASP license, Taiwan Mobile had to comply with various Anti-Money Laundering (AML) requirements. Upon meeting these criteria, the company becomes eligible to join the Taiwan Virtual Asset Service Provider Association, a self-regulatory body established in June.
The United Daily News noted that while most members of the VASP association are startups, Taiwan Mobile’s entry as a major corporation is expected to invigorate the industry. Zheng Guangtai, the association’s chairman, highlighted that the inclusion of companies from diverse sectors will bring new experiences and resources to the association.
The regulatory landscape for cryptocurrencies in Taiwan has been evolving with stricter measures. The FSC took over crypto regulation in mid-2023 and subsequently issued management guidelines for crypto businesses in September, including a ban on foreign operators. This was followed by a parliamentary bill in October to enforce fines aligned with FSC guidelines.
Looking ahead, the FSC announced plans in March to introduce legislation aimed at further tightening regulations and enhancing consumer protections. In May, the Justice Ministry proposed amendments to Anti-Money Laundering laws that could impose prison terms for violations committed by VASPs.
In related developments, Binance collaborated with the Justice Ministry on a case involving a $6.2 million money laundering scheme, resulting in charges against nine individuals for money laundering, fraud, and organized crime.
Source: Kyle Chassé