South Korean City Seizes $1.1M in Crypto Over Unpaid Taxes

Cheongju authorities have confiscated cryptocurrencies from 161 residents as part of a local tax enforcement campaign. The city recovered approximately 1.5 billion won ($1.1 million) in digital assets since 2021, targeting 203 delinquent taxpayers.

Municipal officials established a dedicated exchange account to streamline asset seizures and conversions. This procedural shift enables direct liquidation of crypto holdings to settle outstanding tax debts, marking a significant escalation in enforcement capabilities.

The enforcement mechanism involves cross-referencing tax delinquents with exchange records, followed by asset freezes and compulsory transfers. Similar crypto confiscation programs are being implemented across multiple South Korean jurisdictions, with Jeju City alone investigating nearly 3,000 cases.