Taiwan's first regulated stablecoin may be launched next year.

According to CoinDesk, Taiwan's first locally issued stablecoin may launch in the second half of 2026, but regulators have not yet decided on the currency it will be pegged to. Peng Chin-lung, chairman of Taiwan's Financial Supervisory Commission (FSC), told legislators that the draft Virtual Asset Services Act has passed preliminary cabinet review and may pass its third reading in the next legislative session. Specific regulations for stablecoins will be introduced within six months, possibly as early as the end of 2026. The bill does not restrict issuers to banks, but the FSC and the central bank have reached a consensus that financial institutions will lead the initial issuance. What remains unclear is the currency backing: the stablecoin may be pegged to the US dollar or the New Taiwan dollar, depending on market demand.