Taiwan to Ban Crypto Purchases with Credit Cards

The Financial Supervision Commission (FSC) of Taiwan plans to ban residents from buying digital currencies with credit cards. According to the regulator, the relevant order may be published in the near future.

The Taiwanese regulator sent earlier this month a letter to the association of banks asking the organization to ban financial institutions from servicing credit cards that are used to enter cryptocurrency platforms and purchase digital assets.

In this letter, the commission warns banks about the risks of investing in an innovative tool. Financial institutions have been given three months to stop servicing credit cards used for crypto trading.

The FSC has noted funds held on credit cards cannot be used in online gambling and cannot be used to purchase stocks, futures and options.