From what I can see, they're just reminding people that bitcoin is 'not legal tender' in Taiwan just like everywhere. Now whether this implies illegality, or a ban, depends on where you live I suppose but I doubt they'll be shutting down any Taiwanese exchanges.Headlines like this have the potential to scare away investors, though.
Last time I checked, they are not illegal in any way, but they reminded they financial institutions to be cautious of bitcoin and crypto's in general. And did you know that there's a Bitcoin ATM in Taiwan?
https://bitcointalk.org/index.php?topic=2422999.0The presence of bitcoin ATM is a clear sign that bitcoin is not illegal there. And remember that Taiwan-China relationship is very rocky. So I conclude that what decision mainland China does, Taiwan will not follow, on the contrary, they will do the opposite. Like China has put a crackdown on bitcoin, but Taiwan still remains a bitcoin friendly nation.