Kim Seong-hwan "Government Must Not Stand Idle Over Cryptocurrency Investors' Losses"
[Asia Economy Reporter Oh Ju-yeon] In response to the recent crash of Korean virtual currencies Luna and TerraUSD (UST), the Democratic Party of Korea has decided to reactivate the 'Virtual Asset TF (Task Force)' and work on measures to protect investors.
Kim Seong-hwan, the Policy Committee Chairman of the Democratic Party of Korea, is speaking at a press briefing on the supplementary budget bill held at the National Assembly on the 12th. Photo by Yoon Dong-joo doso7@
On the 17th, Kim Seong-hwan, chairman of the Democratic Party's Policy Committee, stated at a press briefing held at the National Assembly, "Not only domestic investors but also those who invested in overseas virtual currencies have suffered significant losses, so it is difficult to remain idle," adding, "Since the situation is very urgent, we plan to reactivate the TF and propose protective measures to the government as soon as possible."
Chairman Kim said, "Virtual currencies experience very volatile fluctuations, causing considerable excessive losses for some people," and added, "It seems that more systematic measures are needed in this regard."
Accordingly, the Democratic Party plans to reactivate the 'Virtual Asset TF,' which was led by Representative Yoo Dong-su last year, to establish investor protection mechanisms. Although the Democratic Party formed the Virtual Asset TF last year, its activities were effectively suspended due to the presidential election and other events.
Additionally, the Democratic Party has decided to reform the long-term holding special deduction on capital gains tax incurred when selling a house.
Chairman Kim explained, "The long-term holding special deduction for single-home owners is up to 80%, and even if they do not reside in the house, they can receive a 4% discount benefit annually for 10 years just by holding it," adding, "For such investment purposes where the house is held without residing, the special deduction will be lowered from 4% to 2% per year of holding, while the residence deduction will be increased from 4% to 6%."
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