BlockFi to Raise $4M During Financial Round

Financial round was led by Akuna Capital, other inverstors are Galaxy Digital Ventures, Morgan Creek Digital, Susquehanna Government Product and Fidelity
13 December 2018   611

During the round of financing led by Akuna Capital, the cryptocurrency company BlockFi raised $ 4 million. Other investors include Galaxy Digital Ventures, Morgan Creek Digital, Susquehanna Government Product and Fidelity Investments division of Devonshire Investors.

The company has attracted investment in exchange for convertible bonds. BlockFi, which operates in the lending market, intends to use funds to expand the team as part of the launch of new services.

In particular, the company plans to open cryptocurrency savings accounts for clients with the possibility of obtaining income, as well as to issue credit cards provided by digital assets. The first BlockFi product promises to launch in the first months of 2019.

The BlockFi team is providing a critical piece of financial services infrastructure in the crypto space. Companies like BlockFi are representative of the high-quality development that will facilitate continued consumer adoption.
 

Toby Allen

Head of Digital Assets, Akuna Capital

At the moment, the company offers loans to corporate and private clients, accepting their cryptocurrency savings as a security. In July, BlockFi raised $ 52.5 million from cryptobank Mike Novogratz.

Bithumb Filed Appeal Against Korean Tax Office

Looks like the korean exchange doesn't really want to pay an additional tax worth $67 000 000
16 January 2020   122

The South Korean cryptocurrency exchange Bithumb has filed a complaint against the National Tax Service (NTS) because of the requirement to pay additional taxes for the transactions of its foreign customers.

The company claims that cryptocurrencies do not have an official status in the territory of South Korea, which is why the authorities cannot have sufficient reasons to levy any taxes.

The tax court will have to decide within 90 days whether to retain or withdraw from Bithumb the obligation to pay the $ 69.1 million tax that was assigned to it by NTS in November. The Office declares that the withdrawal of income from accounts in Korean won by foreign residents is a taxable event. It is assumed that the exchange itself had to withhold tax from its foreign customers.

We paid the full amount and have since been preparing for arguments. We believe we will be given a chance to clarify our stance in court.

 

Bithumb

 The ministry has its own position on this issue.

Bitcoin under the current law is not an asset. It is clear and simple. The Ministry of Economy and Finance already made that clear. The NTS pushing ahead with the tax imposition is baseless and groundless, especially since it is still awaiting the ministry opinion on the same matter it sought again.

 

Choi Hwoa-in

Adviser to Financial Supervisory Service

According to the expert, the NTS maneuver is well thought out and aimed at starting to levy a tax on income that is currently not taxable.

We cannot comment on the ongoing matter. We will await the judgment from the Tax Tribunal.

 

NTS

Earlier, Bithumb was ordered to pay an additional $ 67 million in tax.