1.The Central Bank of the Republic of China (Taiwan) (hereafter referred to as "the
Bank") has prescribed these directions for the operation of the online network
system for the Bank's open market operations (hereafter referred to as "the System").
〈Laws and Regulations to Follow〉
2. Except where provided for in these directions, relevant operations of the System
shall be conducted in compliance with the "Electronic Signatures Act", "Directions
for Open Market Operations by the Central Bank of the Republic of China (Taiwan)",
"Directions Governing Designated Dealers for Open Market Operations", relevant
certification authorities certification practices, and other relevant laws and
〈Transmission Mechanism of the System Information〉
3.The System shall employ a digital signature mechanism to transmit information; the
relevant certification authorities shall provide authentication and certificate
issuance management services to handle the applications of network members for
issuance or revocation of certificates.
〈Application to Participate or Withdraw as a Network Member〉
4.Financial institutions intending to participate in or withdraw from the System as
a network member shall apply to the Bank's Department of Banking by submitting an
official letter and relevant documents.
II. Certificate Management
〈First-Time Registration of Certificate〉
5.A financial institution that has been approved by the Bank's Department of Banking
to participate in the System as a network member shall log in to the System to
carry out first-time registration of certificate after completing the certificate
〈Registration of Certificate Change〉
6.A network member whose registration information has changed shall log in to the
System to register the corresponding change to its certificate.
III. Management of Network Membership
〈Change of Authorized Persons〉
7.When a network member reassigns its authorized supervisor, it shall log in to the
System to change the information of the authorized supervisor; when a network member
changes its liaison persons, its authorized supervisor shall log in to the System to
change the information of liaison persons.
〈Security Control of Network Members〉
8.Network Members shall establish rigorous security control procedures, including
management of electronic certificates, user identification and passwords, and
development of an independent and secure operation environment. Security control
procedures shall be implemented in accordance with relevant regulations. The network
member shall be responsible for all losses caused by own negligence.
IV. Submitting Transaction Information for Participating in the Bank's Open Market Operations
〈Transmission of Transaction Information〉
9.A network member that participates in the Bank's open market operations shall
submit transaction information according to the schedule announced on the System
and the submission time recorded shall be based on the time displayed on the Banks
central processing unit.
The transaction information submitted shall bear a digital signature signed with
the private key of the network member’s authorized executive and be transmitted
in the form of a digital envelope automatically encrypted via the Bank's public
key in the System.
When confirmation of the submitted transaction information in the preceding paragraph
is transmitted back to the network member by the System, it means the network member
has completed the submitting formalities; if no reply message is received, the
network member should act promptly to identify the problems and notify the Banks
Department of Banking.
〈Validity of Transmission of Open Market Operations Information〉
10.With respect to the transaction information transmitted by a network member under
the first paragraph of the preceding Direction, the network member may not raise any
objection to the Bank on the grounds that its system is not independent, persons
submitting the information have not been authorized or have been changed, passwords
have been fraudulently or illicitly used, or cite any other reason.
V. Handling of System Interruption
〈Notification of System Interruption〉
11.The Bank's Department of Banking will inform all network members to carry out
certificate registration under Directions 5 and 6, change of data in Direction 7
and submission of transaction information under Direction 9 in writing if the System
is interrupted and cannot be immediately restored. A network member shall immediately
inform the Bank’s Department of Banking if its connection with the System is
interrupted, and may apply to the Department of Banking to conduct business in writing
depending on severity of the malfunction.
〈Conducting Business in Writing〉
12.When a network member conducts business in writing in accordance with the preceding
Direction, it shall submit the written documents by fax or email to the Banks
Department of Banking, and shall thereafter deliver the original documents by the
VI. Written Documents and Formats
〈Written Documents and Formats〉
13.For financial institutions applying to participate as a network member under
Direction 4 and for network members conducting business in writing under Direction 11,
the documents and formats required for submission shall be prescribed separately by
the Bank's Department of Banking.