JPMorgan’s ‘Quorum’ Chain set in South African Bank

The pilot of ‘Project Khokha’, JPMorgan’s Ethereum blockchain has successifully been finished in the South African Reserve Bank (SARB)
06 June 2018   2151

The results of pilot  were detailed in the official statement claiming that Project Khokha’s major goal was “to build a proof of-concept (PoC) wholesale payment system for interbank settlement using a tokenized South African rand on distributed ledger technology (DLT).” When the bank is not yet going to override its existing settlement systems and change them with blockchain technology, Deputy Governor of the Central Bank Francois E. Groepe declared that Khokha could act as a standby layer.

With the help of the pilot it was proved that the South African payments system ordinary daily volume of transactions “could be processed in less than two hours with full confidentiality of transactions and settlement finality.” It took about 2 seconds for each distinct transaction to be confirmed.

Khokha made use of Range proofs and Pedersen engagements. As informed in a TrustNodes report, these concepts act as “a method to hold balances in a random number format so that you can not tell the balance of each participant,” in order to  ensure privacy. The project also was able to achieve each one of the subsidiary goals it set out for, including “ to build on the initiatives previously undertaken by global peers and to gain further insights on DLT developments in a South African wholesale payments context.” It was also stated that the project had supplied an important opportunity “to explore the type of collaborative innovation that is expected to become more common.” 

Also, according to the report, despite there are still “many issues to consider” before a blockchain system can be fully adopted, the project has provided the necessary basement for “future collaborative work.”

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   124

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.