Taiwan has adopted the authorized capital mechanism into his Company Code, and a company does not have to issue all of its authorized capital shares at the time of registration. For the purposes to work with the global capital markets and to attract foreign investors to invest in Taiwan's capital market, and also for the purpose to fit for different investors, the authorities have introduced several kinds of derivative securities into the Company Code and Securities Exchange Act as new investment tools for domestic and international investors. However, due to the process of the legislation and different government agencies have regulatory power over those derivative securities; the regulatory mechanisms are now a little confused for investors and for scholars. Meanwhile, the agencies have had issued many orders in regarding to the procedure of issuance, nature, exemption effects of those derivative securities and which may have explicit or potential conf1icts among such orders. How to resolve this complicated regulatory scheme; therefore, should be a very important issue for the agencies. In this article, the author will focus on those derivative securities which may directly impose the issuer with a compulsory legal obligation to issue new shares to the holder of the derivative securities in the current regulatory mechanism as the research scope only, and will analyze the domestic orders issued by the agencies and statutory regulations only, but will not exploit the comparative methodology for a cross-border’s examination. And the author will try to point out those conflicts and confuses among such orders and statutory regulations. The author is expecting to receive valuable comments from all of the readers.