If you're landing at Taoyuan International Airport and looking for a place to grab a bubble tea, you’ll need to know exactly what’s in your wallet. The official name for taiwan currency called the New Taiwan Dollar, but honestly, nobody actually calls it that in a casual conversation. Most of the time, you’ll see it written as TWD or NT$.
It’s a fascinating currency with a messy history.
The Money Basics: TWD vs. NTD
So, is it TWD or NTD? Technically, both. TWD is the international ISO 4217 code you’ll see on currency exchange boards at the bank. On the other hand, NTD (New Taiwan Dollar) or simply NT$ is the common abbreviation used on price tags in every 7-Eleven or night market from Taipei to Kaohsiung.
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Think of it like the difference between saying "USD" and "Bucks," though the local slang goes a bit deeper than that.
If you are speaking Mandarin, you won't say "dollars." You’ll hear people say yuán (元) for formal stuff or kuài (塊) when they're just chatting. Kuài literally translates to "piece," and it’s basically the equivalent of saying "a buck" in the States or "a quid" in the UK.
What the bills look like
Taiwanese banknotes are pretty vibrant and, frankly, much easier to tell apart than US greenbacks.
- NT$100: Bright red. You’ll see Sun Yat-sen on the front.
- NT$200: Green. These are actually pretty rare. If you get one, keep it as a souvenir or just spend it, but don't expect to see them often.
- NT$500: Dark brown/grey. It features a youth baseball team—a nod to Taiwan’s obsession with the sport.
- NT$1,000: Blue. This is the workhorse of the economy. It’s got school kids studying a globe on it.
- NT$2,000: Purple. Like the $200 bill, these are like unicorns. Many small vendors are actually hesitant to take them because they don't see them enough to know if they're fake.
Why is it called "New" Taiwan Dollar?
History in this part of the world is never simple. The "New" part of the name isn't just a marketing gimmick; it was a desperate move to save the economy.
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Back in the late 1940s, Taiwan was dealing with the aftermath of World War II and the Chinese Civil War. Inflation wasn't just bad; it was "carry a wheelbarrow of cash to buy a loaf of bread" bad. The "Old" Taiwan Dollar was failing fast.
In June 1949, the government decided to hit the reset button. They introduced the New Taiwan Dollar at an exchange rate of 40,000 to 1.
Imagine waking up and finding out your 40,000 units of currency are now worth exactly one single coin. It was a brutal transition, but it worked to stabilize the local economy while the rest of the region was in total chaos.
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The Silver Yuan Confusion
For a long time, the New Taiwan Dollar wasn't even the "official" national currency on paper. Because of the complex political situation with the Republic of China (ROC), the "Silver Yuan" was technically the legal tender until the year 2000.
Wait, what?
Yeah, for decades, the New Taiwan Dollar was technically a "provincial" currency. It wasn't until the Central Bank of the Republic of China (Taiwan) took over issuance from the Bank of Taiwan in 2000 that the NTD finally became the undisputed national currency.
Coins: The "Shrapnel" in Your Pocket
You’re going to end up with a lot of coins. Taiwan loves its coins.
- NT$1: Small, bronze-colored. Mostly used for exact change at supermarkets.
- NT$5 and NT$10: Silver-colored. You’ll use these for vending machines and bus fares if you haven't topped up your EasyCard.
- NT$20: These are bi-metallic and, again, quite rare.
- NT$50: Large, gold-colored, and surprisingly heavy.
One thing you’ll notice is that there is no "cent" or "sen." The smallest unit is 1 dollar. While historical divisions like jiǎo (1/10th of a dollar) exist, they haven't been used in physical form for ages. If you see a price like $10.5 on a digital invoice, it usually rounds up or down at the register.
Practical Tips for Travelers in 2026
While Taiwan is becoming more digital every day, cash is still king in many places. You cannot pay for your $60 NTD stinky tofu at a street stall with a Visa card.
- ATM over Exchange Counters: Don't bother exchanging cash at your home bank before you leave. The rates are usually terrible. Just use a Charles Schwab or Wise card at any ATM in a 7-Eleven or FamilyMart in Taiwan. They are everywhere.
- The EasyCard (Yoyo Card): This isn't just for the subway (MRT). You can use it at convenience stores, Starbucks, and even some taxis. It’s the closest thing to a "universal" digital currency in Taiwan.
- Check your bills: Taiwanese people are generally very honest, but counterfeit NT$1,000 bills do exist. Check for the holographic strip and the watermark.
- Foreign Currency: Don't expect to use US Dollars or Japanese Yen at shops. Unlike some Southeast Asian countries, Taiwan only accepts its own currency.
When you're at a night market and someone says "Yī-bǎi," they mean 100. Just hand over that red NT$100 bill and you're good to go.
Actionable Next Steps
If you're planning a trip soon, check the current exchange rate on a reliable site like XE or Google Finance using the code TWD. Once you arrive, hit the ATM at the airport to get a mix of $1,000 and $100 bills. Immediately go to a convenience store, buy a drink, and ask for an EasyCard—it will make your life ten times easier than fumbling with NT$1 coins all day.