South Korea To Tax Bitcoin Profits, Ban Foreigners From Trading
South Korea will ban minors and foreigners from trading in virtual currency or creating bank accounts for them in the country, the government announced.
It will also tax profits from income from virtual currency and impose stricter authentication for traders, the Office of Government Policy Coordination, which reports to the prime minister, said.
The announcement follows an emergency meeting by deputy ministers of financial regulators due to overheated security trading in virtual currency. Last week, the price of Bitcoin, the most popular of the currencies, fluctuated between 14 million won ($13,000) to 25 million won ($23,000). There are concerns over it being a bubble due among rampant speculation.
The office said that it will actively work to prevent losses for normal investors and block exchanges from becoming a place for speculation. It won't impose a complete ban as to not stifle innovation in fintech, it said.
Financial institutes such as banks will be banned from owning virtual currency, buying them, mortgaging them, or owning shares in them.
Those who use virtual currency will go through a stricter guideline for authentication. The government already previously announced that it will prevent ICOs.
Transactions in virtual currency will only be allowed in exchanges.
Related Coverage
- Austrac gets the legal nod to monitor Bitcoin, Ethereum exchanges
- Steam dumps Bitcoin on back of high transaction fees and volatility
- Could Bitcoin in space help boost trade on Earth?
- Quant Trojan upgrade targets Bitcoin, cryptocurrency wallets
- United Kingdom plans tighter regulation of Bitcoin
- Why more companies will be betting on Bitcoin in 2018 (TechRepublic)
- Video: The key differences between the blockchain and Bitcoin (TechRepublic)
How Fintech Is Revolutionizing Traditional Banking
How fintech is revolutionizing traditional banking is a topic that is garnering positive and immense discourse within th... Read more
Blockchain And Its Impact On Fintech Industry
Blockchain and its impact on Fintech Industry has become a hot topic in the current digital era. The amalgamation of blo... Read more
The Rise Of Fintech In The Digital Era
In the heart of the digital revolution, we've observed a term termed as "fintech" creating a substantial and transformat... Read more
Role Of Fintech In Transforming Retail Banking
The role of fintech in transforming retail banking is producing significant changes in the financial services industry. ... Read more
Fintech Innovations In Asset Management
Financial technology, or FinTech, refers to the blending of financial services with technology. The importance of FinTec... Read more
Exploring The Future Of Accounting Software: Unveiling The Power Of AI
The revolutionary ignition sparked by artificial intelligence (AI) cannot be understated in contemporary business ecosys... Read more