The first arrest in Taiwan under the new anti-money laundering laws for illegal cryptocurrency operations has occurred.
Legislative Changes
Since November 30, 2024, Taiwan has enforced a registration system for virtual asset service providers, requiring mandatory registration for all market participants. These new laws aim to combat money laundering through cryptocurrencies.
Chen's Case
Chen, a 30-year-old resident of Kaohsiung, used Facebook groups to organize cryptocurrency deals and meet clients, where he exchanged Tether (USDT) for cash. In less than a month, Chen completed hundreds of transactions, selling 400,000 USDT and earning a profit of NT$800,000. He was arrested on December 24, and authorities seized computers, mobile phones, cash counters, and safes.
Other Illegal Operations
In a separate raid, law enforcement discovered an illegal coin dealer studio on Chengdu Road in Taipei, operated by clerks Lin and Liu, selling USDT at a 10% premium. Last month's revenue exceeded NT$200 million, with a profit of approximately NT$20 million. Employees were paid NT$40,000 monthly.
Taiwanese authorities are increasing oversight of cryptocurrency operations to curb illegal activities and urge citizens to use only approved services.
