Taiwan’s legislature has approved the Virtual Asset Service Act following a third reading, establishing a comprehensive legal framework for the cryptocurrency industry. The new law aims to protect investors and enhance market stability by regulating virtual asset service providers (VASPs). A key provision introduces penalties of at least three years in prison for fraudulent activities involving virtual assets. The legislation also addresses anti-money laundering concerns and requires VASPs to register with relevant authorities. Further details regarding implementation and specific regulations are expected to be released following the law’s enactment. This marks a significant step towards integrating cryptocurrency into Taiwan’s financial system while mitigating associated risks.