South Korea plans to create a specialized asset management system for cryptocurrencies by 2025 to combat tax evasion, a local publication has reported.
The National Tax Service has selected GTIC as the lead company to build the system after an initial consultation.
The aim of this system is to simplify the analysis and control of data collected from crypto trading platforms, which are required to report on their users' transactions.
The planned implementation of this system aligns with the country's intention to impose a capital gains tax on cryptocurrencies from January 2025.
In addition, in January, South Korea's financial regulatory agency reaffirmed its ban on financial institutions launching any cryptocurrency exchange-traded funds (ETFs).