Taiwan FSC Removes CoinWorld and CoinW from Compliant Crypto Exchange List after AML Concerns
Taiwan’s Financial Supervisory Commission (FSC) has intensified regulatory actions in its crypto sector, recently removing both CoinWorld (operated by 尹天下国际顾问管理公司) and CoinW (币想科技) from its official list of compliant virtual asset service providers (VASPs). This move follows allegations of fraud and money laundering involving CoinW and an industry-wide push for stricter anti-money laundering (AML) and regulatory oversight. CoinWorld, previously considered a compliant trading and custody platform, is now prohibited from offering crypto services both online and offline in Taiwan. The FSC reiterated that all VASPs must adhere strictly to AML, counter-terrorism financing (CFT), anti-proliferation (CPF), consumer protection, and anti-fraud regulations, or face immediate removal and cessation of operations. The simultaneous exclusion of CoinWorld and CoinW signals the FSC’s commitment to protecting investors and fighting illegal activities, while suggesting increased scrutiny and potential instability in Taiwan’s crypto trading environment. These developments could impact VASP licensing, operational certainty, and local market stability, especially as traders respond to heightened regulatory risks.
Bearish
The removal of CoinWorld and CoinW from Taiwan’s compliant crypto exchange list signals heightened regulatory scrutiny and a stronger stance on anti-money laundering compliance. For traders, this reduces the number of available local trading platforms and increases operational uncertainty for both exchanges and users. Such regulatory crackdowns typically lead to short-term market volatility and can erode investor confidence, making the environment more cautious. In the long-term, while increased oversight may enhance investor protection, the immediate impact is negative for market trading sentiment and could prompt outflows or reduced trading activity within the local crypto market.