Taiwan Now Allows Professional Investors to Access Bitcoin ETFs

In a significant development for Taiwan’s financial sector, the Financial Supervisory Commission (FSC) has approved access for professional investors to foreign Bitcoin and other crypto-based ETFs. Announced on Monday, this decision marks a major step forward, allowing select investors to participate in “foreign virtual asset” exchange-traded funds (ETFs).

The crypto ETF market has seen explosive growth globally, especially in the United States. After the approval of the first Bitcoin ETF in January, Ethereum followed shortly after. Taiwan's move aims to expand "product choices" for its investors by offering access to these cryptocurrency investment vehicles.

Taiwan FSC Expands Crypto ETF Access in a Landmark Decision

Bitcoin has had a breakthrough year in 2024, bolstered by the increasing popularity of ETFs. Last week alone, Bitcoin ETFs attracted over $1 billion in net inflows, marking the highest level since July. As market sentiment turns bullish, Taiwan is positioning itself to capitalize on the growing momentum.

The FSC's decision allows professional investors to access foreign Bitcoin and crypto ETFs, opening the door for high-net-worth individuals and institutions to engage with these emerging financial products. According to the FSC, eligible investors include "professional institutional investors, high-net-worth legal entities, high-asset clients, legal entities or funds that qualify as professional investors, and natural persons classified as professional investors."

Additionally, securities firms wishing to invest in crypto ETFs must undergo a board-approved suitability assessment. To ensure investor protection, the FSC has mandated educational efforts to raise awareness of cryptocurrency and its risks.

This move adds Taiwan to the growing list of countries embracing cryptocurrency as a critical and evolving asset class in the global financial landscape