Regulatory AlertsTaiwan: fintech & payments regulation
RegulatedVASP licensing via FSC under new 2026 Act; traditional payments regulated by CBOT/FSC
- Lead regulator
- Financial Supervisory Commission (FSC)
- Also involved
- CBOT (banking/forex) · FSC (securities/VASP)
- Core law
- Virtual Asset Service Provider Act (2026)
- Entry capital
- TWD 50m (VASP)
- Approval timeline
- 6-12 months for VASP; variable for banking
- Customer assets
- Segregated custody required for VASPs
- Data protection
- Personal Data Protection Act · PDCA
- Sandbox
- Yes - FSC Regulatory Sandbox
Taiwan has established a comprehensive regulatory framework for virtual asset service providers (VASPs) with the passage of the Virtual Asset Service Provider Act in June 2026, overseen by the FSC. Traditional payment and banking activities remain under the purview of the Central Bank of the Republic of China (Taiwan) and the FSC, with strict licensing requirements for foreign exchange and interbank settlements.
Which licence do you need?
| Your activity | Requirement | Capital | Timeline | Authority |
|---|---|---|---|---|
| Payment processing / gateway | LicencePayment Institution License Requires CBOT approval for payment service operations | TWD 10m | 6-12 months | FSC / CBOT |
| E-money & wallet issuance | LicenceElectronic Payment Institution License Strict capital and governance requirements apply | TWD 10m | 6-12 months | FSC |
| Domestic money transfer | LicenceMoney Remittance License Subject to AML/CFT regulations | TWD 10m | 6-12 months | FSC |
| Cross-border remittance | LicenceCross-border Remittance License Requires CBOT foreign exchange compliance | TWD 10m | 6-12 months | FSC |
| Agent network | LicencePayment Service Provider Licenseverify with regulator Limited scope for agent networks | TWD 5m | 3-6 months | FSC |
| Open banking / account information | Uncertainverify with regulator No specific open banking law identified | — | — | — |
| Foreign-exchange services | LicenceForeign Exchange Broker License[1] Strict capital and reporting obligations | TWD 50m | 6-12 months | CBOT |
New — what changed recently
- 2026-06-30Virtual Asset Service Provider Act — Legislative Yuan passed the VASP Act, establishing comprehensive operational and market order standards for virtual asset service providers.[2]
- 2026-06-30Amendment to Standards for the Establishment of Commercial Banks — Article 18-1 amended to modify provisions governing the formation of commercial banks.[3]
- 2024-12-02Regulations Regarding Authorization Provisions of the Foundations Act — CBOT issued updated regulations concerning authorization provisions under the Foundations Act.[4]
Market-entry checklist
- 1Secure VASP License from FSCApply for VASP license under the 2026 Act with TWD 50m capital.
- 2Obtain Payment Institution LicenseSecure FSC approval for payment services with TWD 10m capital.
- 3Comply with AML/CFT RegulationsImplement strict AML/CFT frameworks as required by law.
- 4Register with CBOT for ForexObtain CBOT license for foreign exchange operations if applicable.
- 5Establish Segregated CustodyEnsure customer assets are held in segregated accounts.
Sources
- Regulations Governing Foreign Exchange Brokers · 2018-12-14
- Legislative Yuan Passes Virtual Asset Service Provider Act · 2026-06-30
- Amendment to Article 18-1 of the Standards for the Establishment of Commercial Banks · 2026-06-30
- Regulations Regarding Authorization Provisions of the Foundations Act by the Central Bank of the Republic of China (Taiwan) · 2024-12-02