South Korea to Reduce Taxes for Blockchain Startups

With the impending legalization of cryptocurrency exchanges and businesses, South Korea continues to make way for blockchain development.

A leader in the industry, South Korea is considering reducing taxes for blockchain startups to fuel 'growth through innovation.

On July 13, 2018, the South Korean Ministry of Strategy and Finance met to discuss plans for promoting growth through national investment projects, such as blockchain startups and new technologies.

"We will revise the corporate and income tax incentives to promote job creation and expand the tax reduction for new growth engine investment and ease requirements for new technology support, including the blockchain technology investment support."

The news follows South Korea's recent classification of cryptocurrency and blockchain-related businesses, indicating a national focus on promoting growth in the nascent digital economy.

Each division will hold several subcategories to specifically classify numerous businesses based on blockchain operation and use-case.

Cryptocurrency exchanges will gain legal classification as "Crypto asset exchanges and brokerages," while smart contract platforms such as Ethereum, NEO, and EOS will be categorized as "Blockchain based system software development and supply businesses."

In the burgeoning blockchain and cryptocurrency industries, it's becoming evident that South Korea has made active efforts to remain at the forefront of regulation and innovation.

On June 21, the South Korean Ministry of Sciences and ICT announced their "Block Chain Technology Development Strategy" - divulging plans to invest over 230 billion KRW into public and private blockchain projects.

The easiest way to stay current with the most important blockchain news and crypto insights.