How Does Ko Chiu-Kun View the Challenges in the Development of the Cryptocurrency Industry?

As the wave of digital finance sweeps across the globe, the development and regulation of virtual currencies have become focal points of concern for various countries. The “Bitcoin National Reserve – 2025 Second Forum on Innovative and Derivative Product Regulatory Strategies,” held yesterday (14th), engaged in an in-depth discussion on the potential of cryptocurrencies as national reserves, regulatory strategies for innovative financial products, and Taiwan’s development direction in this field.

After the event, Legislative Member Ko Chiu-Kun accepted media interviews and provided his professional insights on the challenges faced by Taiwan in cryptocurrency regulation and industry development.

How Should Bitcoin Be Preserved as a National Reserve?

Regarding the preservation of Bitcoin as a national reserve, Ko Chiu-Kun believes that this is not an insurmountable challenge. He pointed out that Taiwan has an abundant talent pool in cybersecurity and cryptography, which should be sufficient to meet the preservation needs of digital assets.

Ko emphasized: “In fact, I believe that preserving virtual currency for a country is not more difficult than preserving our personal data.”

He believes that if the government already has mature technology and experience in personal data protection, then preserving Bitcoin should not pose a problem. Ko further stated that Taiwan has strong potential in the research, development, and industrialization of cryptocurrency-related technologies. He specifically mentioned that Taiwan’s startup, Cybavo, was acquired by Circle and has become an important part of its ecosystem, which is a testament to Taiwan’s technological strength.

Additionally, he welcomed the participation of existing financial industries in cryptocurrency custody services, believing it would help establish a more comprehensive digital asset preservation system.

Should Cryptocurrency Be Taxed in the Future?

The taxation of cryptocurrencies has sparked heated discussions globally in recent years, and Taiwan is no exception. With the increasing popularity of digital assets, investors’ attention to relevant tax regulations has been growing. However, due to the uniqueness of cryptocurrencies, their tax treatment is relatively complex, involving various aspects such as income tax and property transaction tax, which has led to widespread controversy. Online, issues such as “should cryptocurrencies be taxed?” and “how to reasonably impose taxes?” have ignited passionate discussions.

Ko Chiu-Kun believes that the key lies in the government’s attitude and policy towards this industry. He emphasized that if government policies are conducive to industry development, then moderate taxation is reasonable. However, if the government focuses solely on regulation and control without providing substantive support, then taxation could become a hindrance.

Ko pointed out: “If a government brings obstacles to this industry, merely regulating without fostering development, then why should I pay them?” He believes that discussing cryptocurrency taxation is feasible but that the purpose should be to promote industry development rather than simply considering tax revenue.

Moreover, Ko questioned the current government’s inconsistent stance on cryptocurrency policy. He believes that the government should not deny its value during a bear market while hastily imposing taxes during a bull market. He urged the government to adopt a more consistent and forward-looking attitude towards this industry to avoid confusing the public.

What Are the Plans for Future Legislation?

Regarding the next steps in legislation related to cryptocurrencies, Ko Chiu-Kun believes that the most important task at this stage is to communicate fully with the government to deepen its understanding of the industry.

He emphasized: “Therefore, I am seizing this golden opportunity to interact with the government and convey the correct perspective to them.” He believes that hasty legislation before the government truly understands the industry could lead to erroneous policies.

Ko also mentioned that if the specialized law draft proposed by the Financial Supervisory Commission does not meet actual needs, he would collaborate with other opposition party members to propose a more suitable version. However, he also pointed out that regardless of how the final bill is passed, the new regulatory framework will inevitably impact the industry to some extent. He called on the industry to be well-prepared and to maintain good communication with the government to shorten the transition period.

Additionally, Ko particularly emphasized that legislation should be oriented towards encouraging innovation rather than merely imposing restrictions. “Otherwise, should we even require KYC for MetaMask?” He used this as an example to illustrate that if regulations require KYC for decentralized applications, it would severely hinder industry development.

He believes that lawmakers should fully consider the uniqueness of the technology and avoid formulating overly stringent or unrealistic provisions.

International Perspective and Taiwan’s Unique Development

In the global competition for digital assets, how Taiwan positions itself to secure a role on the global blockchain map has become a focal point of attention.

Ko Chiu-Kun believes that Taiwan’s development in the cryptocurrency field possesses unique international perspectives and potential. He pointed out that compared to other international financial centers, Taiwan’s development model tends to lean towards “self-institutionalization,” which allows Taiwan to achieve a unique balance between regulation and innovation.

He emphasized that Taiwan has an active developer community, a mature market, and an open attitude toward new technologies, all of which are advantages that help Taiwan stand out on the international stage.

However, Ko noted that Taiwan’s regulatory model still needs improvement, and the government should adopt a more open mindset to understand the technology and provide appropriate management tools to truly leverage Taiwan’s unique advantages.