South Korean authorities in Gyeonggi Province have carried out the largest-ever tax seizures by seizing $ 47 million in Bitcoin (BTC) and Ethereum (ETH).

According to coverage reported According to the Financial Times, about 12,000 tax frauds involved the seizure. The authority has called the operation “the largest seizure of critical currency in Korean history.”

These “tax advocates” committed the crime by associating their trading or investment services at trading venues in the country with their telephone numbers. Although the process was rigorous, it had to be done manually because the encryption change could not provide completely unknown customer (KYC) information about insolvent taxpayers. In addition, France Télécom’s report was unclear as to which digital currency trading platform was involved in the investigation.

South Korea has a strong cryptocurrency trading commitment among its citizens, and the country has sought to implement regulation. One of these is a law passed by the Korean National Assembly in March 2020. This law authorizes cryptocurrency currency exchange to take customer information through KYC and obtain licenses from banks.

While large exchanges, such as UpBit, have been able to comply with the requirements, other smaller trading venues have had difficulty complying with this situation, exacerbated by financial institutions that exited from cryptocurrencies. In addition to these, South Korea has longed for a long time execution 20% capital gains tax cryptocurrencies, all of which is easier with proper encryption.

South Korea is one more receptive ashore block chain and cryptocurrency-related innovations. While encryption has been successful in the country over the past decade, the government has taken bold steps develop its own Central bank digital currency, digital profit. Despite its soft stance, the nation has zero tolerance for fraud among cryptocurrencies, as evidenced by the ongoing raid Bithumb exchange in the midst of extensive fraud investigation.

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