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 create virtual tokens as simple to invest in as shares and equally as liquid,” the Taipei Times reported on Oct. 23.
At a finance committee meeting, Chinese Nationalist Party (KMT) legislator William Tseng requested Koo if the government would govern ICOs. Tseng pointed out that 127 ICO whitepapers were discovered last year to be fake, the publication explained, adding that 80 whitepapers were shown to be inaccurate as April. Findings were also quoted by the legislator from Satis Group.
The news outlet conveyed Koo’s answer:
The commission would regulate 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 business organization, China’s National Committee of Experts on the Internet Financial Security Technology, said it found 421 fake cryptocurrencies. Independently, the Wall Street Journal examined 1,450 ICOs and”found 271 with red flags which include plagiarized investor records, guarantees of guaranteed returns and missing or fake executive teams and bitcoin casino best bonus.”
Securities Tokens
Taiwan’s Securities and Futures Bureau Deputy Director-General Tsai Li-ling was quoted by the Taipei Times asserting:
People frequently confuse an ICO using the trading of cryptocurrenciesbitcoin casino with free spins bonus bitcoin online casino for us players governor of Taiwan’s central bank, Yang Chin-long, told the finance committee that”the government tends to regard cryptocurrencies as virtual commodities or assets rather than currencies, because they have no intrinsic value.” Tsai elaborated that”cryptocurrency trading is similar to trading in gold, for which the commission just implements money laundering controls.”
If a token functions similar to a 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 must disclose information like what companies that are publicly traded need to do.
Regarding the time period of the ICO standards,”The draft is to be completed by June next year,” the information outlet detailed, noting that”The commission has no intention of controlling the creativity and productivity associated with cryptocurrencies if they’re not utilized as securities.”
“The more we govern, the more this new financial behaviour wanes,” Koo was quoted saying. In June, the FSC indicated that it intended to maintain only a limited oversight of cryptocurrencies and focus on anti-money laundering measures. In April, news.Bitcoin.com reported that Taiwanese bitcoin regulations are expected by November.
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Source: bitcoincasinoreview.net
