A cryptocurrency exchange is an online platform where users can freely buy, sell, and trade various cryptocurrencies. For example, in Taiwan, you can use a local exchange to convert New Taiwan Dollars (TWD) into Bitcoin or Ethereum, or sell cryptocurrencies back to TWD.
This guide will help you understand how to select a reliable exchange and provide an overview of the top platforms available in Taiwan.
Understanding Cryptocurrency Exchanges
A cryptocurrency exchange functions as a digital marketplace where users can trade cryptocurrencies. Think of cryptocurrencies as "stocks" and exchanges as "brokers." Therefore, the first step to investing in cryptocurrencies is choosing a legal and trustworthy exchange based in Taiwan.
Are Cryptocurrency Exchanges Legal in Taiwan?
In Taiwan, cryptocurrency exchanges are legal as long as they have registered their Anti-Money Laundering (AML) compliance statement with the Financial Supervisory Commission (FSC).
All exchanges mentioned in this article meet this requirement. Currently, Taiwan does not have dedicated legislation for cryptocurrencies. However, as of June 2024, an industry association has been established to develop self-regulatory standards. Eventually, the FSC and this association will collaborate to enact a "Virtual Asset Special Act."
Exchanges that have completed their AML compliance registration are permitted to operate legally. The full list of compliant businesses is available on the FSC website.
How to Choose the Right Cryptocurrency Exchange in Taiwan
Key Consideration 1: Security and Legitimacy
- AML Compliance with the FSC
Always choose an exchange registered with the FSC. Avoid any platform not on the official list to prevent involvement in illicit activities. - TWD Trust Accounts with Banks
Opt for exchanges that partner with banks to offer TWD trust accounts. This ensures that user funds are held separately from the exchange’s operational funds, reducing the risk of misuse. - Multi-Layered Security Measures
Select platforms with strong security protocols and no history of major hacks. Always enable two-factor authentication (2FA) for added safety.
Key Consideration 2: Low Transaction Fees
Transaction fees generally fall into two categories: Taker (market order) and Maker (limit order) fees. Using limit orders can help reduce costs. Lower fees mean better overall returns.
Key Consideration 3: High Trading Volume
Exchanges with higher trading volumes offer better liquidity, enabling faster and more efficient transactions. High volume also indicates greater trust in the platform.
Top 5 Cryptocurrency Exchanges in Taiwan
The following five exchanges are among the most reputable in Taiwan. All support TWD deposits and withdrawals, though their features and target audiences vary.
| Exchange | Key Features | Established | AML Compliance | Trust Bank |
|---|---|---|---|---|
| MAX | Largest trading volume, physical branches | 2018 | ✅ | Far Eastern Bank |
| BitoPro | Integration with FamilyMart, point redemption | 2018 | ✅ | Far Eastern Bank |
| XREX | Supports TWD and USD deposits/withdrawals | 2018 | ✅ | Far Eastern Bank |
| HOYA BIT | User-friendly, daily earnings feature | 2021 | ✅ | KGI Bank |
| TWEX | Operated by Taiwan Mobile, low entry threshold | 2025 | ✅ | Taipei Fubon Bank |
1. MAX Exchange (Maicoin)
MAX Exchange, launched in 2018, is part of the Maicoin Group. It is the largest crypto exchange in Taiwan by trading volume, with over a million users.
- Issued its platform token, MAX Token, in 2018.
- Partners include Taiwan Tiger Air, Hotai Motor, and Cathay Life Insurance.
- Security measures include bank trust accounts for user funds, cold wallet storage, and ISO 27001 certification.
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2. BitoPro Exchange
BitoPro, established in 2018, is part of BitoGroup. It offers 20 cryptocurrencies and 36 trading pairs.
- Partners with FamilyMart, allowing users to redeem loyalty points for cryptocurrencies.
- Funds are held in trust with Far Eastern Bank.
- Offers trading fee discounts for new users.
3. XREX Exchange
XREX was founded in 2018 by experts in cybersecurity and international trade. It supports both TWD and USD transactions.
- Received investment from Tether in 2024.
- Holds a Major Payment Institution (MPI) license from the Monetary Authority of Singapore (MAS).
4. HOYA BIT Exchange
HOYA BIT focuses on simplicity, compliance, and steady returns. It is designed for ease of use, making it ideal for beginners.
- Partners with KGI Bank for TWD trust accounts.
- Offers legal consulting services through top law firms.
5. TWEX Exchange
TWEX is operated by Taiwan Mobile, a major telecom provider. It is set to fully launch in late 2025.
- Backed by the Fubon Group, offering high credibility.
- Currently available only to Taiwan Mobile users.
How to Buy Cryptocurrency in Taiwan
After registering with an exchange, you can deposit TWD into your account via bank transfer. Once funded, you can:
- Directly buy cryptocurrencies like Bitcoin or Ethereum.
- Convert TWD to USDT (Tether) and transfer it to an international exchange for more trading options.
USDT is a stablecoin pegged to the US dollar, often used as a digital dollar for trading. When you want to cash out, simply transfer USDT back to a Taiwanese exchange, convert it to TWD, and withdraw to your bank account.
Frequently Asked Questions
Q1: What are the top three cryptocurrency exchanges in Taiwan?
The top three exchanges are MAX, BitoPro, and XREX. These platforms are known for their security, liquidity, and user-friendly features.
Q2: Is it safe to store funds on a Taiwanese exchange?
While registered exchanges comply with local regulations, it is advisable not to store all your assets in one place. Diversify across multiple platforms to minimize risk.
Q3: Can I use USD on Taiwanese exchanges?
Currently, only XREX supports USD deposits and withdrawals. Other exchanges primarily deal in TWD.
Q4: What is a trust account, and why is it important?
A trust account ensures that user funds are held separately from the exchange’s operational funds. This adds a layer of protection against mismanagement or bankruptcy.
Q5: Are there fees for withdrawing TWD?
Yes, most exchanges charge a small fee for TWD withdrawals. These fees vary, so compare options before making a decision.
Q6: How do I start investing in cryptocurrencies?
Begin by registering with a reputable exchange, completing identity verification, and depositing funds. Start with well-known cryptocurrencies like Bitcoin or Ethereum before exploring other options.
Conclusion
Choosing the right cryptocurrency exchange is crucial for a successful trading experience. Prioritize security, low fees, and high liquidity when making your decision. The Taiwanese market offers several reliable options, each with unique features tailored to different types of investors.
Remember to diversify your investments across multiple platforms and stay informed about regulatory updates. Happy trading!