South Korea postpones crypto tax until 2028

The introduction of a crypto tax will be delayed in South Korea until 2028, according to local newspaper Hankyung. The introduction of a 20 percent crypto tax has been debated in the country since 2021. The tax was supposed to be introduced in 2022, but the plan was repeatedly postponed.

The tax was actually supposed to be introduced in January 2025, but the deadline now appears to be pushed back to January 2028. However, final government approval for the postponement has yet to come. A decision is expected by the end of this month.

In general, South Korea is known for its affinity for Bitcoin and other cryptocurrencies. It is estimated that about 12.5 percent of the population trades cryptocurrencies. The country is seen within the crypto scene as a paradise for arbitrage trading, also known as the "Kimchi Premium."

If the introduction of the tax is delayed again, the global crypto market could benefit. Often, crypto projects begin their rise on Korean exchanges such as Upbit before experiencing their hype in other parts of the world.