Gangnam District Intensifies Crypto Confiscation Efforts Against Tax Evaders

Seoul's affluent Gangnam District has escalated its crackdown on tax evasion by seizing cryptocurrencies from delinquent taxpayers. Since late last year, authorities have confiscated 340 million won ($244,796) in digital assets, with 200 million won ($144,057) recovered in the first half of this year alone.

The district leverages data from South Korea's five major fiat-trading crypto exchanges to identify and freeze assets linked to unpaid taxes. Tax evaders face a stark choice: settle their debts or watch their holdings liquidated. This approach has proven effective, with many residents promptly paying overdue taxes to avoid losing their crypto investments.

Gangnam's significance as a hub for crypto firms and wealthy investors makes it a focal point for such enforcement. "Many residents own substantial VIRTUAL assets," noted a district official, underscoring the strategy's rationale.