Seoul Regional Tax Office Conducts 'Special' Tax Audit on Ground X

[Asia Economy Reporter Park Hyungsoo] Ground X, which issued cryptocurrency, and The Ancore Company, a blockchain company that established Terra, are under tax investigation for suspected tax evasion.

According to related industries on the 20th, the Seoul Regional Tax Office detected tax evasion suspicions involving Ground X and The Ancore Company and launched an irregular tax investigation earlier this month.

Ground X is reportedly suspected of omitting sales revenue during the Initial Coin Offering (ICO) process of its self-issued cryptocurrency "Klay" (KLAY) and of withholding taxes at a lower amount than the appraised value when paying Klay as bonuses to employees.

Klay is a cryptocurrency used on the Klaytn (KLAYTN) blockchain platform. Klay is currently traded on cryptocurrency exchanges both domestically and internationally. In Korea, it is listed on the Coinone exchange.

Ground X stated regarding the ongoing tax investigation, "There is nothing to confirm."

The Ancore Company is also under tax investigation for similar suspicions. The Ancore Company is a startup established by former chairman Shin Hyunseong, the founder of social commerce TMON.