(Purposes of Establishment and Organization)
A futures exchange shall be established for the purpose of promoting the public interest and preserving the transaction fairness of the futures market.
A futures exchange may be organized in form of either membership or company.

(Establishment Standards and Governing Regulations)
A futures exchange shall be established with an approval granted and a business license issued by the Competent Authority.
The establishment criteria as referred to in the preceding Paragraph and the governing regulations for the futures exchanges shall be prescribed by the Competent Authority.

(Business)
The business of a futures exchange is to provide services for a centralized futures trading market. Unless otherwise approved by the Competent Authority, a futures exchange shall neither engage in other business nor invest in other enterprises.

(Trading of Contracts)
A futures trading contract shall not be traded on the futures exchange without prior approval from the Competent Authority. Nonetheless, when the Competent Authority is approving the futures trading contract involving currency exchange between New Taiwan Dollars and foreign currencies, the Competent Authority shall consult with and obtain the consent of the Central Bank of the Republic of China (Taiwan) in advance.
The Competent Authority shall grant or deny the application as referred to in the preceding paragraph within six months, unless extraordinary circumstances are present.

(Causes for Voidance of Contracts)
An approved futures trading contract may be voided by the Competent Authority if one of the following events occurs:
1. The contract has lost its economic value;
2. The contract is not consistent with the public interest;
3. Upon the petition filed by the futures exchange.

(Futures Trading Venue)
Unless otherwise prescribed by this Act or other acts, or otherwise approved by the Competent Authority, futures trading shall be conducted only at a futures exchange.

(Prohibition of Unlawful Operation)
Unless acting pursuant to this Act, no person shall engage in operating a futures exchange or the business of a futures exchange.
No person shall provide any premises, facilities, or information for others to engage in the unlawful business as referred to in the preceding Paragraph.

(Operation Bond)
A futures exchange shall deposit an operation bond with the National Treasury. The amount and the governing regulations of the said bond shall be prescribed by the Competent Authority.

(Operating Rules)
The operating rules of a futures exchange shall contain the following particulars:
1. use of the futures trading market;
2. trading system;
3. clearing and settlement system;
4. calculating methodology of margin and premium;
5. administration of futures commission merchants;
6. surveillance of the futures trading market;
7. contingency plan;
8. handling procedures and penalties for default cases;
9. other matters as required by the Competent Authority.
The prescription and amendment of the provisions in the operating rules as referred to in the preceding Paragraph shall be approved by the Competent Authority.

(Measures for Maintaining Market Order)
A futures exchange, in the execution of market surveillance pursuant to subparagraph 6 of Paragraph 1 in the preceding Article, may publicize the very trading information where such a surveillance has detected abnormalities; in case such a trading is suspected of materially dampening the market order, the following measures may be undertaken:
1. the adjustment of margin level or the time span for collection;
2. the restriction of trading volumes for the whole or partial portion of futures commission merchants;
3. the restriction of trading volumes and/or open positions;
4. suspension or termination of the said futures trade;
5. any other necessary measure for the maintenance of the market order or for the protection of futures traders.

(Causes for Voidance of License)
In the event of the following events, the Competent Authority may void the license of a futures exchange:
1. the application for incorporation or the business license contains false statement;
2. where, three months elapsed after the issuance of the business license, the futures exchange fails to commence its business operation or, after commencing its business operation, it has voluntarily suspended its operation for a continuous period of three months or longer, unless the futures exchange, for justifiable cause shown, has applied for and obtained an extension approval by the Competent Authority.

(Filing for Approval and Recordation)
A futures exchange shall file registration statements with the Competent Authority for its approval and recordation upon commencing or suspending its business operation.

(Confidentiality)
Any directors, supervisors, or their individual representatives, managers, or employees of a futures exchange shall keep confidential any information relevant to futures transactions acquired through the performance of their duties.

(Qualifications and Governance of Responsible Persons and Associated Persons)
The rules regarding qualification and personnel governance for the responsible persons and associated persons of a futures exchange shall be prescribed by the Competent Authority.