South Korean Parents Flood Minors with Cryptocurrency to Avoid New Taxes

Korean parents are gifting cryptocurrency to their children at nearly triple the rate of last year, in an effort to take advantage of tax savings before new regulations take effect.

The value of virtual assets gifted to minors has risen sharply, with 423 reported cases worth a total of 45.86 billion won in 2025. This represents a significant increase from the previous year, when there were only 103 gift transactions totaling 4.03 billion won for minors aged 18 or younger.

The sharp rise in cryptocurrency gifts comes as the government prepares to tighten taxation and oversight of virtual assets. Starting next year, virtual asset service providers will be added to the institutions covered by comprehensive financial asset reviews, making it easier for tax authorities to detect unreported transfers.