Taiwan toughens law against virtual currency, payment service money laundering

Taiwan's Executive Yuan has approved significant amendments to the Money Laundering Control Act, targeting illicit activities within the virtual currency and third-party payment sectors. The proposed changes aim to close existing loopholes and impose stricter penalties on financial crimes, particularly those involving substantial amounts of laundered money.

Under the revised legislation, businesses found to be operating without proper authorization in the virtual asset or third-party payment industries will face severe consequences. If the laundered amount exceeds 100 million New Taiwan dollars (approximately $3.1 million USD), offenders could be sentenced to three to ten years in prison and fined up to 100 million NTD. This measure signals a strong governmental stance against large-scale financial crime.

For cases involving less than 100 million NTD, the penalties are still substantial, with potential prison sentences ranging from six months to five years. The Ministry of Justice emphasized that these amendments are crucial for preventing the misuse of virtual currencies and payment platforms for illegal purposes. The government is committed to strengthening its anti-money laundering framework and ensuring financial stability.