OKX Exchange announced this afternoon that it will suspend its C2C trading services in Taiwan. The decision to halt C2C trading services is mainly due to changes in Taiwan’s regulatory requirements. According to Zombit, the Financial Supervisory Commission had previously announced that virtual assets would be brought under regulation in four phases, with the current focus on anti-money laundering issues. This means that both domestic and foreign currency businesses involved in Taiwan Dollar and cryptocurrency trading will be subject to regulation. With the latest “Anti-Fraud Four Laws” proposed by the Executive Yuan, new regulations amended in the Anti-Money Laundering Act will require virtual asset services to complete anti-money laundering registration, third-party payment services to complete anti-money laundering and service energy registration, and overseas virtual asset and third-party payment service providers to establish branch offices or branch registrations. Failure to comply with these requirements could result in up to two years of imprisonment. In comparison to OKX, Binance Exchange’s C2C trading feature is still available for use by Taiwanese users, and several individual currency businesses are still providing services on the platform. However, it is expected that Binance Exchange will also need to make corresponding changes in this aspect once the Anti-Money Laundering Act is revised. Whether it is establishing a presence in Taiwan or cooperating with local compliant currency businesses, these are potential solutions for the future.
