The Executive Yuan of Taiwan passed a series of new laws yesterday to strengthen the fight against fraud, particularly targeting virtual assets and large offshore advertising platforms. This so-called “Anti-Fraud New Four Laws” will significantly change the current management of the financial industry and online platforms.
The key content includes:
Stricter regulations for virtual asset operators: Foreign operators must establish a local representative entity in Taiwan.
Increased responsibility for offshore advertising platforms: Platforms like Facebook and TikTok must appoint legal representatives in Taiwan.
Heavier criminal penalties for fraud crimes: “The more you cheat, the longer you’ll be imprisoned.”
Legalization of technological investigative measures: The government will be able to use modern technologies like GPS positioning and thermal imaging to track and investigate crimes.
The new laws will require both individual and corporate cryptocurrency operators to strictly comply with anti-money laundering regulations and undergo formal registration. Failure to do so can result in fines of up to NT$5 million or imprisonment of up to 2 years.
For online advertising, the new laws mandate that large offshore platforms like TikTok and Facebook establish legal representatives in Taiwan. Non-compliance, especially in taking down fraudulent ads, can lead to fines of up to NT$25 million and potential platform bans.
The new laws also introduce the principle of “the more you cheat, the longer you’ll be imprisoned.” For fraud cases involving over NT$10 million, offenders can face up to 10 years in prison and a fine of up to NT$30 million. Further penalties are imposed for organized crimes or the use of sophisticated fraud methods.
The new legislation is expected to have far-reaching impacts on Taiwan’s financial security and online environment. The “Anti-Fraud New Four Laws” are slated to be submitted to the Legislative Yuan for review in the near future to formally become law