Taiwan Financial Supervisory Commission (FSC) loosens restrictions on using STOs to raise money
Considering that the “regulatory framework” encourages company operators to deploy security tokens in the Regulatory sandbox, which serves as the primary means of international control of STOs, Taiwan Financial Supervisory Commission (FSC) asked Taipei Exchange to gather data on global best practices and opinions from corporate executives in order to timely alter the appropriate rules as part of a “pilot” financial supervision for testing.
The FSC concurs with the Taipei Exchange’s proposal to adjust the relevant STO regulations as follows: In line with the principle of not contradicting the STO monitoring framework, in order to improve the business capability of platform operators, and taking business risks into account:
(I) Amendment of STO Regulatory Rules: Provided that the securities company does not materially violate the relevant provisions of the governing STO rules, the time period for a platform to accept a second STO becomes up after accepting the first STO’s trades to be eased. up to six months (initially a year). In addition, the fundraising limit of a single platform was increased from NT$100 million to NT$200 million.
(II) Overseas Chinese and foreign nationals can invest up to NT$30 million (inclusive) of the amount raised; The FSC will amend the relevant orders and request the Taipei Exchange to amend the STO’s regulatory rules and related support measures.
Source: FSC
