South Korea Prepares Commercial Tracing Tools for Private Wallet Transactions Ahead of 2027 Crypto Tax

South Korea's National Tax Service plans to use commercial crypto tracing software to track digital asset movements between private wallets ahead of the 2027 crypto tax rollout.

The tax agency acknowledged that identifying all unreported private wallet transactions remains difficult because taxpayers directly control the assets.

Crypto income generated through private wallets and overseas exchanges will be taxable, with qualifying gains subject to a combined 22% tax.