Taiwan Targets 2026 for Regulated Stablecoin Launch Under New Crypto Framework
Taiwan is positioning itself as a crypto-friendly jurisdiction with plans to issue its first regulated stablecoin by the second half of 2026. The move comes as the island's Financial Supervisory Commission (FSC) finalizes the VIRTUAL Assets Service Act (VASA), a legislative framework that will govern stablecoin issuers and service providers.
Regulators have yet to determine whether the stablecoin will be pegged to the Taiwan dollar (TWD) or the U.S. dollar (USD). The decision will hinge on reserve requirements and monetary policy considerations under the new regime.
The VASA draft proposes strict oversight of virtual asset operators, including licensing mandates, capital adequacy rules, and consumer protection measures. This marks a strategic pivot for Taiwan, which has historically taken a cautious approach to crypto regulation.
