Taiwan prepares legislation on stablecoins for 2026, with exclusive issuance for banks.

The financial authorities of Taiwan are pushing plans to integrate stablecoins into the national banking system.

A central debate has emerged over whether these digital tokens should be pegged to the new Taiwanese dollar or the US dollar.

The issue took center stage at a forum organized by the Taiwan External Trade Development Council on December 15.

Regulators and industry executives examined how digital currencies could reduce transaction costs for companies engaged in international trade.

International payment fees currently pose a burden for Taiwanese exporters, with costs reaching 5% per transaction.

These charges accumulate through outgoing transfer fees, incoming transfer fees, and intermediary bank fees.

A stablecoin pegged to the US dollar could streamline cross-border settlements while simultaneously avoiding regulatory restrictions on the circulation of NTD abroad.

A token linked to NTD would integrate better with Taiwan's national payment infrastructure.

Alex Liu, CEO of MaiCoin and a board member of the Taiwan Virtual Assets Service Providers Association, argued that a local stablecoin could drive Taiwan's economic expansion.

Payment providers are closely monitoring the development of stablecoins, as these instruments promise significant fee reductions in markets that mimic traditional currency trading.

Liu emphasized that an NTD stablecoin would have functional, not speculative, purposes. The tool would primarily address efficiency improvements and risk management issues. $USDT