South Koreans’ overseas crypto assets boom to $99B as regulatory focus shifts to OTC trade regulation

South Koreans reported astir 131 trillion won (around $99 billion) successful overseas crypto assets, including Bitcoin (BTC), for this year, according to the country’s taxation agency.

According to the document, 1,432 individuals and entities possessed cryptocurrency holdings valued astatine implicit $99 cardinal overseas. This magnitude constitutes 70% of the full offshore assets reported by individuals and businesses successful South Korea.

The taxation bureau revealed that a full of 5,419 entities disclosed overseas assets amounting to 186.4 trillion won oregon astir $140 billion. While cryptocurrency holdings dominated these assets, South Koreans held important stocks, deposits, and savings.

Earlier successful the year, the taxation regulatory authorization unveiled plans to intensify scrutiny connected individuals who neglect to study their overseas assets. South Korean law mandates that citizens and residents study overseas assets valued astatine 500 cardinal won oregon more.

South Korea to absorption connected OTC trades

In effect to increasing concerns implicit the imaginable misuse of cryptocurrencies for illicit activities specified arsenic wealth laundering, South Korean regulatory authorities person unveiled their intent to spot a heightened absorption connected over-the-counter (OTC) cryptocurrency transactions.

Consequently, these regulators person initiated monitoring measures for OTC cryptocurrency trading activities wrong the country.

The determination was officially disclosed during a league titled “Criminal Legal Issues Related to Virtual Assets,” which took spot astatine the ‘2023 3rd Supreme Prosecutors’ Office Criminal Law Academy,’ arsenic reported by a section quality agency.

During this event, Deputy Chief Prosecutor Ki No-Seong of the Financial Services Commission underscored the necessity for implementing broad regulations governing OTC cryptocurrency transactions.

“Illegal virtual currency OTC companies person overseas corporations and are engaged successful the concern of converting illegally obtained virtual currency into Korean won oregon overseas currency,” Ki added.

Citing a large example, the regulators mentioned the indictment of 3 individuals arrested past twelvemonth successful the country. The arrested individuals were caught illegally buying 94 cardinal Won crypto worthy $70.9 cardinal via OTC trades.

The station South Koreans’ overseas crypto assets roar to $99B arsenic regulatory absorption shifts to OTC commercialized regulation appeared archetypal connected CryptoSlate.