Korean Lawmakers Demand Crypto Rulebook and Tax Clarity in Seoul

Two South Korean lawmakers used the World Digital Assets Forum in Seoul on Monday to demand sharper digital asset rules, splitting their focus between market structure and taxes. Rep. Min Byoung-dug of the Democratic Party of Korea touted his proposed Digital Asset Basic Act, which would give financial institutions and digital asset firms a legal footing in Korea to expand across Asia. His argument was blunt: gaps in Korean law already block domestic firms from offering services their overseas competitors already run. According to Min, that gap is a competitive wound, not a technicality.

Min's bill would set standards for stablecoin issuers, lay out rules for tokenizing real-world assets and give institutional investors a legal basis to enter the digital asset market. He also called for measures shielding investors when a security breach hits. Korea, he said, should become the first place companies look when they want to launch or grow a digital finance business in Asia.

Rep. Park Soo-young of the People Power Party welcomed the government's proposal to push the tax on crypto gains to 2029 and let investors carry losses forward for three years. His warning: the delay is only a starting line. After three earlier postponements, Park said lawmakers still have to spell out how investors calculate taxable gains, including how they pin down the purchase price of their holdings, and he noted no domestic exchange has finished preparing for the tax.

Park wants a system that lets investors offset gains against losses and tracks transactions both at home and abroad. He urged colleagues to spend the proposed two-year window tightening investor protections and handing digital asset firms more certainty, arguing predictable rules are what let companies build new technology and services in Korea.