South Korean law enforcement officials have reportedly seized 260 billion won ($183 million) worth of digital currency since 2021 from local individuals and businesses that do not comply with local taxation laws.
It is understood that the seizure covered 17 cities and the province of Gyeonggi saw the highest amount of seized cryptocurrency amounting to $37 million.
While the city of Seoul recorded the seizure of $12 million and Incheon $3.5 million including Chungnam and Jeonbuk were also part of the operation.
Individually, law enforcement agents seized $8.5 million in crypto from a Seoul resident who did not comply with domestic tax requirements.
Local authorities are also confiscating digital assets from many individuals and businesses that do not report their transactions to relevant institutions even though crypto tax regulations in South Korea remain unclear.
According to representative Kim Sang-hoon, laws and policies can guarantee a stable cryptocurrency investment environment if the principles of taxation are done fairly.
He added that South Korea has deferred the 20% tax on crypto income until a comprehensive regulatory framework is in place for the industry.
On different sources, the collapse of the South Korean cryptocurrency project Terra in May of this year has had a negative impact on investors and many have blamed Terra co-founder Do Kwon.
This is because, prosecutors claim that he not only transferred part of his profits to overseas tax havens but also gave crypto tokens to family members to avoid taxes.
