The Financial Supervisory Commission (FSC) yesterday said that it would clearly define so-called “securities tokens” and draft regulations for security token offerings by June to protect investors.
The FSC, which said at the Legislative Yuan’s Finance Committee in October last year that it would draft national standards for initial coin offerings, would not regulate digital tokens that are not securities tokens, FSC Chairman Wellington Koo (顧立雄) told a news conference yesterday.
“It is not easy to draw up the rules, as there is little to draw upon from other countries, but we will try to complete the work by June,” Koo said, adding that many nations are still in the process of making their rules.
Although the US Securities and Exchange Commission has proposed a definition for securities tokens, it seems to be too loose to be applied in Taiwan, Koo said.
There are many types of digital coins, but only those that have securities-like attributes — such as those with the potential to make capital gains through trading, or which serve as units of ownership interests in a corporation or asset — can be defined as securities tokens, Koo said.
As these tokens function similarly to a security, the commission would not draft another set of rules on token trades, but their trade would be regulated under the Securities Exchange Act (證券交易法), Koo said.
The commission would continue to communicate with the exchanges and firms that sell or issue the coins, Koo said.
The commission has no intention of stifling the potential innovations and productivity gains associated with cryptocurrencies if they are not used as securities, the chairman said.
Coins that are not defined as securities tokes and their initial coin offerings would not be regulated, he said.
PATENTS: MediaTek Inc said it would not comment on ongoing legal cases, but does not expect the legal action by Huawei to affect its business operations Smartphone integrated chips designer MediaTek Inc (聯發科) on Friday said that a lawsuit filed by Chinese smartphone brand Huawei Technologies Co (華為) over alleged patent infringements would have little impact on its operations. In an announcement posted on the Taiwan Stock Exchange, MediaTek said that it would not comment on an ongoing legal case. However, the company said that Huawei’s legal action would have little impact on its operations. MediaTek’s statement came after China-based PRIP Research said on Thursday that Huawei filed a lawsuit with a Chinese district court claiming that MediaTek infringed on its patents. The infringement mentioned in the lawsuit likely involved
Taipei is today suspending work, classes and its US$2.4 trillion stock market as Typhoon Gaemi approaches Taiwan with strong winds and heavy rain. The nation is not conducting securities, currency or fixed income trading, statements from its stock and currency exchanges said. Authorities had yesterday issued a warning that the storm could affect people on land and canceled some ship crossings and domestic flights. Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) expects its local chipmaking fabs to maintain normal production, the company said in an e-mailed statement. The main chipmaker for Apple Inc and Nvidia Corp said it has activated routine typhoon alert
GROWTH: TSMC increased its projected revenue growth for this year to more than 25 percent, citing stronger-than-expected demand for AI devices and smartphones The Taiwan Institute of Economic Research (TIER, 台灣經濟研究院) yesterday raised its forecast for Taiwan’s GDP growth this year from 3.29 percent to 3.85 percent, as exports and private investment recovered faster than it predicted three months ago. The Taipei-based think tank also expects that Taiwan would see a 8.19 percent increase in exports this year, better than the 7.55 percent it projected in April, as US technology giants spent more money on artificial intelligence (AI) infrastructure and development. “There will be more AI servers going forward, but it remains to be seen if the momentum would extend to personal computers, smartphones and
CHANGE OF FORTUNES: Concern over a pricey valuation and the risk of tighter US curbs on chip sales to China have poured cold water on TSMC’s bullish momentum Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) shares fell the most in three months yesterday upon trading resumption, joining a global technology rout as investors dramatically soured on the promises of artificial intelligence (AI). The shares declined 5.62 percent to close at NT$924 in Taipei, dragging down the benchmark TAIEX, which fell 3.29 percent to 22,119.21 points amid a technical correction, Taiwan Stock Exchange data showed. Other chip stocks also fell, with ASE Technology Holding Co (日月光投控) plunging 9.86 percent, MediaTek Inc (聯發科) dropping 2.35 percent, Realtek Semiconductor Corp (瑞昱) falling 1.33 percent and United Microelectronics Corp (聯電) retreating 1.17 percent, while Apple