1M
...
South Korea’s Ministry of SMEs and Startups plans to amend the law to allow virtual asset trading and brokerage firms to register as venture companies. This change will make crypto-related businesses eligible for government subsidies including tax benefits and financial support. Previously banned under the 2018 Special Act these firms were grouped with pubs and gambling venues losing access to vital incentives.
The updated policy could reverse setbacks faced by major players like Dunamu the parent firm of Upbit which lost its venture status and paid $18 million in extra taxes. By restoring venture eligibility the move aims to enhance the legitimacy of the crypto sector and promote new growth. Existing venture firms will also gain freedom to enter the crypto market under the revised law.
Driven by President Lee Jae Myung’s pro-crypto agenda this shift aligns with efforts to legalize Korean won-based stablecoins and introduce crypto ETFs. Lawmakers and financial regulators are also working to ease restrictions on institutional trading signaling a major policy shift.
