Taiwan Targets Late-2026 Launch for First Domestic Stablecoin

Taiwan may roll out its first domestically issued stablecoin by the second half of 2026 as lawmakers transfer ahead with laws to control digital property, although key design decisions, together with which forex the token will monitor, stay unresolved.

According to local media, Financial Supervisory Commission chair Peng Jin-long instructed lawmakers this week that the draft Virtual Assets Service Act has cleared preliminary cupboard opinions and will cross its third studying within the subsequent legislative session.

Rules particular to stablecoins would comply with inside six months of approval, pointing to a doable late-2026 launch on the earliest.

Taiwan to Let Banks Lead Stablecoin Rollout as Regulators Tighten Controls

The draft regulation doesn’t confine issuance to banks, however Peng mentioned monetary establishments will take the lead within the early phases, reflecting a cautious strategy as regulators open the door to home digital tokens.

The FSC is coordinating coverage improvement with the Central Bank of the Republic of China (Taiwan), which has lengthy enforced strict controls to maintain the Taiwan greenback from circulating abroad.

That constraint is shaping the stablecoin debate. A token pegged to the Taiwan greenback would collide with current foreign-exchange guidelines, because the forex shouldn’t be allowed to flow into offshore.

A US dollar-backed stablecoin, against this, would keep away from the thorniest regulatory points and align extra intently with world settlement use instances tied to cross-border funds.

Stablecoins, by design, transfer worth throughout borders with pace and low price, options that might undercut a long time of coverage geared toward holding the native forex onshore and stopping unofficial offshore pricing.

Regulators are actually drafting guardrails requiring full reserve backing, strict segregation of shopper property and home custody to restrict threat at launch.

What stays undecided is the anchor forex itself. Peng mentioned the ultimate alternative will depend upon market demand, with no dedication but to both the US greenback or the Taiwan greenback.

Taiwan Weighs Adding Bitcoin to National Reserves

As reported, Taiwan’s authorities is moving closer to integrating Bitcoin into its nationwide reserve technique, with the island’s Executive Yuan and Central Bank agreeing to judge Bitcoin as a possible strategic asset and discover pilot holdings utilizing seized BTC at the moment awaiting public sale.

BREAKING: TAIWAN’S CENTRAL BANK TO OFFICIALLY PILOT A STRATEGIC #BITCOIN RESERVE

THIS IS ABSOLUTELY MASSIVE pic.twitter.com/V6Xd6uyc6p

— The Bitcoin Historian (@pete_rizzo_) November 12, 2025

In August, Taiwanese prosecutors indicted 14 individuals in the nation’s largest crypto money-laundering case, exposing a NT$2.3 billion ($75 million) fraud that deceived over 1,500 victims by way of pretend crypto alternate franchises.

The operation, led by Shi Qiren, ran greater than 40 storefronts below names like “CoinW” and “BiXiang Technology,” posing as licensed exchanges whereas secretly funneling investor funds into abroad crypto accounts.

Authorities seized money, crypto, and luxurious property value over NT$100 million, whereas Shi faces as much as 25 years in jail for fraud, cash laundering, and arranged crime.

The group’s success hinged on exploiting regulatory blind spots in Taiwan’s crypto oversight. By claiming false approval from the Financial Supervisory Commission, the community constructed investor belief, collected hefty franchise charges, and used “deposit machines” to imitate authentic alternate operations.

Prosecutors described the scheme as “systematic fraud” that leveraged Taiwan’s crypto curiosity and weak enforcement.

The submit Taiwan Targets Late-2026 Launch for First Domestic Stablecoin appeared first on Cryptonews.