South Koreans reported having overseas crypto assets amounting to 131 trillion won ($99 billion) this year, according to the country’s tax agency. The document states that 1,432 individuals, entities and companies have disclosed cryptocurrency holdings with a total value of more than $99 billion. This figure represents 70% of all offshore assets reported to the tax authority in South Korea.
In addition to cryptocurrency, South Korean citizens and residents possess substantial savings, investments, and stocks. The tax authority announced plans to increase scrutiny of those who fail to declare their foreign assets in 2013. Any assets held overseas exceeding 500 million Won must be reported.
To combat the misuse of crypto-currencies for illegal activities such as money laundering, South Korean regulators have focused more on over-the-counter (OTC) cryptocurrency trades. Measures have been implemented to monitor these transactions within the country. The official announcement was made at the ‘2023 3rd Supreme Prosecutors’ Office Criminal Law Academy’, as reported by a local news agency. Deputy Chief Prosecutor Ki No-Seong highlighted the need for comprehensive regulations for OTC crypto trades.
Ki stated that “Illegal virtual currency OTC companies have overseas corporations and are engaged in the business of converting illegally obtained virtual currency into Korean won or foreign currency.” An example of this was the arrest of three people in South Korea last year for making illegal purchases of 94 billion Won ($70.9 million) worth of crypto via OTC trades.
Before engaging in cryptocurrency trading, it is important to do your own research and understand any risks that may be involved. CryptoSlate does not take responsibility for any losses incurred when trading in cryptocurrencies.
