South Korea's Tax Authority Introduces Crypto Tracking Software to Monitor Tax Evasion, Including Non-Custodial Wallets

Gate News message, April 21 — South Korea's National Tax Service announced on April 15 that it plans to deploy crypto asset tracking software from firms including Chainalysis and TRM Labs to monitor cryptocurrency transactions in real time, trace hidden assets of suspected tax evaders, and combat money laundering, hidden inheritance transfers, and offshore tax evasion using digital assets.

The system can track approximately 70 million cryptocurrencies across 45 blockchain layers, including Bitcoin, Ethereum, XRP, and stablecoins. It features de-mixing capabilities to identify mixing services used for money laundering and can perform identity recognition on non-custodial wallets such as MetaMask and Phantom.

This marks the third such deployment by the tax authority since 2024. The system is scheduled for completion in June, with full deployment beginning in July.