The Taipei Times reported this week that a draft proposal for new ICO standards in Taiwan is expected to be completed by June 2018. According to the Times, Financial Services Commission (FSC) Chairman Wellington Koo made the announcement in remarks to the Legislative Yuan’s Finance Committee earlier in the week.
The FSC Chairman was asked by KMT legislator William Tseng if the Taiwanese government has plans to regulate initial coin offerings. He confirmed that the agency is currently crafting proposed standards, which he reportedly claimed will simplify the digital currency investment process to make them as “easy to invest in as stocks and just as liquid.”
Koo also told the committee that his commission wants to avoid any actions that might stifle cryptocurrency innovation and productivity, provided the tokens are not being used as securities. While the FSC will regulate ICOs, he noted that tokens used as mileage points or rewards programs won’t be affected by the new rules.
His comments suggested that the agency is keenly aware of the impact its actions could have on innovation and economic activity:
“The more we regulate, the more this new economic behavior wanes.”