Taiwan’s financial regulatory authority has allowed professional investors to access forex exchange-traded funds through local brokers.
Professional investors in Taiwan can now access forex exchange-traded funds through local securities firms, as approved by the Financial Supervision Commission to diversify investment options while managing associated risks.
According to September 30 press releaseThe FSC’s new policy limits access to foreign cryptocurrency ETFs to professional investors, including institutional investors, high-net-worth entities and individual investors classified as professional due to the “complex nature of virtual assets and their significant price volatility.”
Securities firms are now required to conduct assessments of the suitability of ETF products for virtual assets, which must be approved by their board of directors. Before initial purchases, companies should also “evaluate whether the client has the necessary expertise and experience in virtual assets and related product investments to determine the suitability of the investment,” the press release said.
The Financial Services Commission said it also plans to monitor the implementation of these measures on an ongoing basis, with the aim of protecting investors’ interests while enhancing “the competitiveness of securities companies.”
Taiwan joins a growing number of markets recognizing demand for cryptocurrency-related investment products, although regulatory caution remains high amid concerns about volatility and investor protection.
Earlier this year, Chairman of the Financial Services Commission (FSC), Huang Tianzhou, highlighted growing concerns about fraudulent cryptocurrency activities, suggesting that strict administrative penalties would be imposed on cryptocurrency exchanges and forex traders. He reiterated that cryptocurrencies have no connection to the real economy, and warned of increasing investment disputes and risks associated with unregulated offshore investments.
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