Taiwan has initiated steps to regulate digital assets by presenting a crypto bill for its first reading in the Legislative Yuan. The Virtual Asset Management Ordinance Draft aims to define virtual assets, establish operational standards, ensure customer protection, and mandate industry association membership and regulatory permissions. This move comes as Taiwan transitions from a hands-off approach to crypto regulation, spurred by the FTX exchange collapse. Unlike neighboring Hong Kong, the bill remains neutral on derivatives and stablecoins, leaving room for future crypto-specific regulations. Stakeholders in Taiwan’s crypto industry are welcoming this formal regulatory development.