Korean Authorities May Take Off Tax Perks From Exchanges

It is unknown can local minners be affected with this decision
30 July 2018   1004

South Korean crypto exchanges may soon lose the right to substantial tax benefits granted to small companies. This is reported by CoinDesk.

The government of South Korea proposed to revise the tax legislation and, in particular, to exclude the crypto exchanges from the category of start-ups or SMEs. The latter have the right to reduce taxes up to 100%.

So, according to local laws, start-ups and SMEs can apply to the authorities for a discount on income or corporate tax of 50-100% during the first five years of business existence. Five years later, small companies can also apply for a tax preference, but already at a rate of 5-30%. It is unknown can local minners be affected with this decision.

However, the government decided that the provision of preferences to crypto-currency platforms is inappropriate. According to officials, "crypto-currency brokering is not an effective source of creating added value."

The draft amendment to the legislation will be submitted for discussion to the National Assembly on August 31. However, under any scenario, benefits will be provided to start-ups, which are focused on research and creating new products. Thus, the government of South Korea is trying to stimulate the development of new technologies in the country.

In general, in South Korea, there is a clear tendency to tighten the regulation of the cryptoindustry. So, the other day the local Financial Services Commission urged the National Assembly to enact laws urgently strengthening the exchange of digital currencies.

SBI Holdings to Start Mining Chips Manufacturing

The new enterprise will work in partnership with an unnamed major semiconductor manufacturer from the United States
22 March 2019   94

The Japanese financial conglomerate SBI Holdings announced the creation of a new enterprise that will focus on the production of chips and cryptocurrency mining systems.

The message on the company's website says that SBI Mining Chip Co. (SBIMC) is part of SBI Holdings digital asset strategy.

The new enterprise will work in partnership with an unnamed major semiconductor manufacturer from the United States, and a former head of Chip Estimate and WearSens Adam Trademan, will head it. Currently, Trademan heads the BRD mobile cryptocurrency wallet development company, in which SBI Holdings invested $ 15 million in January of this year.

Recall that its plans to launch a broad offensive against the cryptocurrency industry were announced by SBI Holdings in October 2017. Since then, the corporation has made numerous investments in various projects, and also intends to promote the mass adoption and practical use of the RR Xle XRP token.