diciembre 21, 2017 | Posted in:Blog
Taiwan to Regulate ICOs
FSC Chairman Wellington Koo.
The chairman of Taiwan’s Financial Supervisory Commission (FSC), Wellington Koo, has reportedly confirmed that the commission is drafting national standards for initial coin offerings (ICOs). The FSC aims»to make virtual tokens as simple to invest in as shares and equally as liquid,» the Taipei Times reported on Oct. 23.
In a finance committee meeting, Chinese Nationalist Party (KMT) legislator William Tseng asked Koo whether the government would regulate ICOs. Tseng pointed out that 127 ICO whitepapers were found last year to be fake, the publication explained, including that 80 whitepapers were shown to be inaccurate as April. Findings were also quoted by the legislator from Satis Group showing that 81 percent of ICOs are identified as scams.
The information outlet conveyed the reply of Koo:
The commission would govern ICOs… [but] tokens exchanged for products, like those used in accruing points at convenience stores or mileage points accepted by airlines, would not be addressed by the standards.
In May, a Chinese government-backed industry organization, China’s National Committee of Experts on the Internet Financial Security Technology, said it found 421 cryptocurrencies that was fake. Independently, the Wall Street Journal examined 1,450 ICOs and»found 271 with red flags that include plagiarized investor documents, promises of guaranteed returns and missing or fake executive teams and bitcoin casino best bonus.»
The Securities and Futures Bureau of taiwan Deputy Director-General Tsai Li-ling was quoted from the Taipei Times asserting:
People often confuse an ICO using the trading of cryptocurrenciesbitcoin casino bonus club best us bitcoin online casino governor of Taiwan’s central bank, Yang Chin-long, told the finance committee that»the government will regard cryptocurrencies as virtual assets or commodities as opposed to currencies, because they have no intrinsic value.» Tsai elaborated that»cryptocurrency trading is like trading in gold, for which the commission just implements money laundering controls.»
If a token functions similar to some security,»the commission would define it as a’securities token’ and subject it to the Securities and Exchange Act,» the book quoted Tsai describing, adding:
The issuer would also need to disclose information like what companies which are publicly traded need to do now.
Regarding the time period of the ICO criteria,»The draft is to be completed by June next year,» the information outlet detailed, noting that»The commission has no intention of curbing the creativity and productivity associated with cryptocurrencies if they are not utilized as securities.»
«The more we regulate, the more this new economic behavior wanes,» Koo was quoted saying. In June, the FSC indicated that focus on anti-money laundering measures and it intended to maintain only a limited oversight of cryptocurrencies. In April, news.Bitcoin.com reported that Taiwanese bitcoin regulations are expected by November.
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