Topic: Crypto Exchanges Protest Against Korea (Read 149 times)

Crypto Exchanges Protest Against Korea's Removal of Crypto Businesses from Tax Reduction Bill

The government of South Korea has made a very controversial decision which provoked the exchanges to protest. They removed cryptocurrency business from its tax reduction bill. The decision was pretty quick. But Korea was first to pass "The New Cryptocurrency And Blockchain Bill: A Positive Crypto Legislation"

Local cryptocurrency exchanges and blockchain-related non-profit associations have started to formally protest against the government of South Korea for its controversial decision to remove cryptocurrency businesses from its tax reduction bill.

Earlier this month, the government of South Korea released a proposition entitled "Venture Enterprise Bill", a bit of administrative system planned to fuel the development and advancement of small to medium-sized organizations. If passed, the bill will give an extensive variety of advantages to organizations over different enterprises, including 50% of tax reduction.

On August 12, the government of South Korea officially made a statement that the blockchain project and cryptocurrency-related business will be taken out of the bill. There are restaurants, bars and event operators that are included in the list that will be taken off from the bill.

Local authorities expressed that blockchain projects and cryptocurrency exchanges were wiped out from the bill to prevent a rapid increase in speculation in the new asset class, communicating their worries over the present condition of the cryptocurrency trade market in South Korea.

A year ago, in December, the demand for digital assets in the nation flooded to a point in which existing supply of cryptocurrencies on the local trading exchange was not adequate to encourage the exponentially increasing volume driven by new purchasers and examiners.

Subsequently, the Financial Services Commission (FSC) and other financial offices in South Korea forced a few arrangements to impose with the so-called "Kimchi Premium" in the local trade market, which achieved 30 to 40 percent in late 2017.

Click Here to read full statement by local publications.