Is Buying Tether (USDT) Legal in Taiwan?

Yes, residents in Taiwan can legally buy, trade, and hold Tether (USDT). USDT is not recognized as legal tender, meaning it cannot be used to settle everyday payments, but it is treated as a digital asset for trading and investment.

The Financial Supervisory Commission (FSC) oversees crypto activity. Since 2023, exchanges serving Taiwanese users must comply with the Money Laundering Control Act and Counter-Terrorism Financing Act, enforcing strict KYC and AML requirements.

Investors should choose platforms registered with the FSC or international exchanges that follow Taiwan’s compliance rules. Funding is usually done in New Taiwan Dollars (TWD) through local bank transfers, cards, or approved payment providers.

How to Buy USDT in Taiwan

Taiwanese investors can buy Tether (USDT) through Bybit, one of the most trusted global exchanges. Bybit is accessible in Taiwan and supports instant deposits in New Taiwan Dollars (TWD), giving users a fast and reliable way to move funds on and off the platform.

Funding can be done directly in TWD using local bank transfers, debit and credit cards, or Bybit’s P2P marketplace, where users buy USDT from verified sellers. The exchange lists over 2,000 assets and provides deep liquidity across USDT trading pairs.

Step-by-step guide to buying USDT on Bybit with TWD:

1. Create an Account: Sign up on Bybit and complete KYC verification.
2. Select Buy Option: Choose TWD under One-Click Buy or P2P trading.
3. Pick Payment Method: Pay through bank transfer, card, or approved local providers.
4. Confirm and Receive: Once payment is verified, USDT is instantly credited to your Bybit wallet.

TWD to USDT Fees

Taiwanese investors converting New Taiwan Dollars (TWD) into Tether (USDT) should account for these key costs:

• Deposit Fees: Funding Bybit with TWD through local bank transfers or its P2P marketplace is usually free or very low cost. Using credit cards or third-party payment providers may add 1% to 2%.
• Withdrawal Fees: Selling USDT back into TWD through P2P trades is generally free or minimal. Sending USDT to an external wallet incurs blockchain network fees, which differ by chain (TRC20, ERC20, etc.).
• Trading Fees: Bybit charges about 0.1% for spot trades. On its maker-taker model, maker fees are around 0.1% while taker fees can be closer to 0.2%.

Tip: To keep costs low, prioritize bank transfers through P2P markets and confirm the exchange’s fee schedule before trading.

Best Exchanges for Buying USDT in Taiwan

Taiwanese investors can purchase USDT with New Taiwan Dollars (TWD) on several global exchanges. Bybit is the most convenient, offering instant bank transfers, card payments, and P2P trading. Other platforms also support TWD, though fees and funding options vary.

The table below compares leading exchanges in Taiwan by TWD support, costs, and liquidity to help investors find the most efficient option.

Tax Implications for Tether (USDT) in Taiwan

Taiwan’s Ministry of Finance (MOF) treats cryptocurrencies like Tether (USDT) as virtual commodities. There is no dedicated crypto tax law, but profits are taxed under existing rules.

• Individual Taxation: Gains from selling, swapping, or spending USDT, as well as staking, mining, or airdrop rewards, are taxed at progressive rates from 5% to 40%. The taxable value is based on the TWD market price at the time of each transaction. Losses cannot offset salary or securities income.
• Corporate Taxation: Companies pay the 20% profit-seeking enterprise income tax on net income. Crypto holdings must be recorded, and realized gains are included in taxable profits.
• Business Tax (VAT): Exchanges and brokers pay a 5% VAT on service fees. Individuals trading or disposing of USDT are not directly subject to VAT.
• Taxable Events: Taxes apply when USDT is sold for TWD, exchanged for another token, used for purchases, or received as income. Valuation is determined by the TWD rate at the time of the transaction.

Individuals file annual returns in May (extended to June 30, 2025). Corporations follow their fiscal year schedule. Accurate records of trades, rates, and fees are required.

Final Thoughts

Buying Tether (USDT) in Taiwan is legal and regulated, but investors should focus on compliance and cost efficiency.

Always use FSC-registered or internationally regulated exchanges, complete KYC, and prioritize low-fee funding methods like local bank transfers or P2P markets.

Keeping detailed records of trades and fees not only helps minimize costs but also ensures accurate reporting for tax purposes, making your USDT trading both secure and compliant.