Crypto investment firm Hashed is currently under investigation by the National Tax Service (NTS) in South Korea according to local media. The 4th Bureau of Investigation from the Seoul Regional Tax Office, which is handling the investigation, is best known for conducting investigations into tax evasion and slush fundraising. A slush fund is a pool of funds raised through undisclosed means and set aside for undisclosed purposes. On Dec. 7, local media reported that the exact nature of the investigation is not clear. An official from the regional tax office told reporters that although they could not confirm the exact …

In what could be a big win for the local crypto industry, South Korean lawmakers are close to delaying taxation on digital assets for another year. Representatives from the Tax Subcommittee in the National Assembly, South Korea’s legislative body, reached a bipartisan agreement on Nov. 29 by approving an amendment that could postpone the crypto tax by one year. If the amendment passes in a parliamentary session on Dec. 2, taxation will begin on January 1, 2023, not 2022 as previously planned. Democratic Party lawmakers who have been pushing for this delay decried flaws in the information gathering procedures that …

Are big emerging economies more likely to gravitate toward blanket crypto bans? China has set a precedent, and now it appears as if India could be weighing a similar policy direction: A bill containing a proposed ban on all “private cryptocurrencies” will go in front of the nation’s parliament sometime this winter. The measure is designed to clear the way for India’s central bank to advance its digital currency agenda. Whether a sovereign central bank digital currency can coexist with a thriving market of “private” cryptos will be one of the central questions of the looming CBDC age, and it …

South Korea’s Financial Services Commission (FSC) has issued a report outlining its new definition of cryptocurrencies, along with proposed procedures for token issuers and punishments for non-compliance. The mooted rules could impose onerous regulations on individuals or platforms that mint non-art NFT’s intended for trading, as well as decentralized finance projects among others. The Nov. 23 report by the FSC details items it proposed in the Act on the Protection of Cryptocurrency Users that has been sent to the National Assembly for consideration. It lays down rules for token issuers who wish to have their tokens traded on Korean exchanges …

South Korean government officials have created confusion this year with conflicting announcements regarding a possible repeal or amendment of the upcoming crypto tax set to come into effect in 2022. Throughout 2021, debate has increased in intensity in the National Assembly, South Korea’s legislature, about whether, or how, to amend the crypto tax. If unchanged, the tax will levy a 20% tax on income generated by crypto transactions in excess of 2.5 million Korean won, or about $2,100. NFT regulations are the latest example of confusion over crypto assets in the country. On Nov. 5, FSC officials stated definitively that …

South Korea’s Financial Services Commission, or FSC, announced Tuesday that nonfungible tokens, or NFTs, will be taxed starting next year. According to The Korea Herald, this tax law amendment would impose a 20% tax on income from virtual assets that exceed 2.5 million won ($2,102 USD) as of Jan. 1, 2022. The FSC’s Vice Chairman Doh Kyu-sang specified that only some NFTs would be categorized as virtual assets and therefore subject to “other income” taxes, referring to those used for investment or payment on a large scale. Tax authorities are in charge of defining the full scope of taxable NFTs. …

South Korea’s nonfungible token (NFT) space has rapidly expanded throughout 2021 led by the growth of crypto and NFT services offered by Kakao, but competitors are entering the fray. The NFT market in South Korea could be on a path for even more expansion following the Nov. 5 government ruling that NFT purchases will not incur taxes. Klaytn, the blockchain developed by Korean tech startups Kakao and GroundX, is the obvious first choice for Koreans searching for a network to buy and sell NFT’s. Klaytn’s market dominance in Korea is unrivaled as KakaoTalk, Kakao’s flagship products suite, has over 52 …

The South Korean people and an increasing number of major companies in the country have begun to embrace and integrate the Metaverse into their everyday lives in new and unexpected ways. Two major retailers in the country have recently introduced Metaverse and AI elements to shoppers to enhance their shopping experience. GS Shop introduced home shopping via the Metaverse on Nov. 16 by showing the inner workings of a food production facility. It aimed to reassure customers of the quality of the facility and the food that was for sale. GS Shop turned scans of the physical facility into 3D …

South Korea’s crypto community coul soon face stringent reporting requirements on all cryptocurrency transactions, with the country’s National Assembly currently debating whether “know-the sender” (KTS) rules should be imposed. Arguments against the proposed KTS rule were heard before the Political Affairs Committee of South Korea’s legislature on Nov. 16, with lawmakers and industry experts pushing back against the proposed legislation. If written into law, the KTS rule would stipulate that businesses which receive any crypto assets must verify and report the name of the issuer and their location. In the case of business-to-business transactions, the issuer’s legal status and number …

Nonfungible tokens (NFTs) continue to disrupt the mainstream entertainment industries, with NFT gaming firm Animoca Brands partnering with Korean record label, talent agency and music production company, Cube Entertainment, to build a “K-pop music metaverse.” Announced on Nov. 15, the partnership will see Animoca and Cube work together to create multimedia NFTs celebrating popular actors and K-pop musicians on Cube’s roster. The NFTs will feature images such as artist portraits and album art, and also include digital sound sources such as full-length albums. Yat Siu, the chief executive of Animoca Brands, stated that he cannot wait to begin working with …

The Financial Services Commission (FSC) in South Korea reaffirmed in a public statement today that nonfungible tokens (NFT) are not virtual assets, and will not be regulated. The confirmation of the decision to keep NFTs unregulated came after a review of the Financial Action Task Force’s (FATF) updated guidelines. The October 28 guidance report from FATF states that “NFT, or crypto-collectibles, depending on their characteristics are generally not considered to be [Virtual Assets].” On November 5, an official from a branch of the FSC said in a statement to reporters: “Due to the FATF position on NFT regulation, we will …

Amid the ongoing nonfungible tokens (NFT) boom, people in Asia-Pacific (APAC) countries appear to be the most curious about NFTs, according to Google Trends data. Google Trends data shows that China, Singapore and Hong Kong are the three top countries in the world in terms of the number of “NFT” searches on Google over the past year. According to the data, China has posted the highest number of such searches, with the Google search index amounting to 100 points. Singapore and Hong Kong follow with 67 and 62 points, respectively. Other major “NFT”-searching countries include Venezuela, Philippines, Cyprus, Canada, New …