Taiwan is stepping up its game when it comes to monitoring crypto activity. On Monday, the Financial Supervisory Commission (FSC) signed a formal agreement with the Central Police University to work more closely on tackling cryptocurrency-related crime. The partnership is focused on training, research, and tapping into each other’s data and tools. Taiwan’s crypto crime problem is growing, and now the government is using AI and police partnerships to crack down on it.
Why? Crypto crimes are becoming more complex and harder to trace. Because digital assets are fast, borderless, and often anonymous, they’ve become a magnet for scammers and bad actors looking to stay one step ahead of regulators. Like many other countries, Taiwan is trying to stay in the race.
The MOU between the FSC and the university is a plan to better coordinate their investigations and regulations of the space. It’s not about banning crypto, but about keeping the ecosystem clean and preventing fraudsters from finding an easy way in.
(Source)
Using Advanced Technology for Taiwan’s Crypto Crime Tracking Efforts
One of the more interesting parts of the partnership is that the FSC now gets access to a powerful AI crime tracking tool developed by the university. This isn’t some clunky spreadsheet. The system can map out how funds move between wallets, monitor unusual activity from virtual asset service providers, and even spot suspicious spikes in trading volume.
That means officials have a much better shot at following the money when crypto-related fraud occurs. The system also helps assess whether exchanges and wallet services hold more funds than they should or move money in unwise ways.
Given how fast things change in the crypto world, having that kind of tech edge is crucial. This isn’t about catching up, it’s about keeping pace in real time.
DISCOVER: Best Meme Coin ICOs to Invest in April 2025
Enhancing Taiwan Regulatory Frameworks and Crypto Crime Training
It’s not just the tools that matter, though. The other big piece of this partnership is education and training.
With crypto evolving constantly, regulators and law enforcement officers must understand how the tech works, how scams are pulled off, and what warning signs to watch for. The idea is to create a shared knowledge base between financial watchdogs and criminal investigators. That way, they aren’t just reacting to problems, they’re preventing them.
DISCOVER: Next 1000X Crypto: 10+ Crypto Tokens That Can Hit 1000x in 2025
And given that Taiwan has been fairly forward-thinking regarding digital assets, this kind of coordination could help shape smarter rules that keep people safe without strangling innovation.
Background on Virtual Asset Service Providers
Virtual asset service providers, or VASPs, are your exchanges, wallets, and other platforms that help people buy, sell, and store crypto. Last year, Taiwan’s FSC rolled out a set of new requirements for how banks and other financial institutions interact with these providers.
These rules were aimed at boosting transparency and reducing the risk of money laundering, a concern that’s been echoed globally as crypto adoption grows.
What This Could Mean for the Future
The FSC and Central Police University teaming up is more than a paperwork moment. It’s a sign that Taiwan is treating crypto oversight like a modern problem that needs modern solutions, smart people, smart tools, and a whole lot of collaboration. Whether or not other countries follow suit, this partnership shows Taiwan isn’t taking any chances.
DISCOVER: 20+ Next Crypto to Explode in 2025
Join The 99Bitcoins News Discord Here For The Latest Market Updates
Key Takeaways
- Taiwan’s FSC has partnered with the Central Police University to crack down on crypto crime through shared tools, training, and research.
- The alliance includes access to an AI-powered system that tracks suspicious wallet activity and maps fund movements in real time.
- The partnership emphasizes proactive education and training for law enforcement and regulators to better understand evolving crypto threats.
- This move builds on Taiwan’s 2024 rules for virtual asset service providers (VASPs) aimed at reducing money laundering risks.
- The initiative reflects Taiwan’s commitment to regulating crypto effectively without stifling innovation or banning digital assets.
The post AI Joins the Force: Taiwan’s Plan to Track Dirty Crypto Money appeared first on 99Bitcoins.
