South Korea PPP Pushes for Total Crypto Tax Abolition Amid $110B Capital Outflow Concerns

South Korea's ruling People Power Party (PPP) announced plans for a public hearing on virtual asset taxation, pushing for complete abolition of the 20% crypto gains tax. The initiative follows estimated $110 billion in cumulative trading volume shifting offshore to foreign exchanges since regulatory uncertainty began. Industry argues domestic policy is driving institutional and retail capital to unregulated platforms.

High impact🇰🇷 South KoreaTaxationRegulationBTCETHBithumbKorbit

APAC FINSTAB analysis

For APAC operators, this creates a high-impact signal around taxation, regulation in South Korea. Protocols/assets in scope: BTC, ETH. Named institutions or platforms: Bithumb, Korbit. Teams should monitor the original source, map the change to licensing, custody, disclosure, and market-access obligations, and update their jurisdiction playbooks before the next compliance review.

Compliance read-through: map this event to entity licensing, market-access, custody, disclosure, token listing, and operational-risk obligations before expanding or marketing in the affected jurisdiction.

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APAC FINSTAB analysis → Original source ↗

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Medium impact🇺🇸 United StatesEnforcementRegulation

APAC FINSTAB analysis → Original source ↗

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High impact🇬🇧 United KingdomRegulationTokenizationCustodyXAUT

APAC FINSTAB analysis → Original source ↗