South Korea Set to Initiate Worldwide Distribution of Cryptocurrency Transaction Information in 2027

Next year, South Korea will adopt the Organization for Economic Cooperation’s (OECD) Crypto-Asset Reporting Framework (CARF). The Ministry of Strategy and Finance of the country officially announced the initiation of the Information Exchange Agreement on September 2, 2025.

What implications does this have for crypto investors? Information regarding foreign investors utilizing Korean exchanges will be shared with their respective home tax authorities, while records of Koreans engaging in trading on overseas platforms will be reported to the National Tax Service of Korea.

As per local reports, a Ministry spokesperson stated, “This is a different subject from taxation.” The spokesperson further explained, “The goal is to create precise regulations for enacting the Virtual Asset Information Trading platform Agreement.”

This action aligns South Korea with a collective commitment from 48 nations to implement CARF by 2027. The country’s adoption of cross-border reporting for digital transactions aims to address offshore loopholes. 

South Korea will begin sharing crypto asset transaction information with tax authorities, following the OECD’s CARF framework. This indicates a rising trend: international strategic alliance in digital currency regulation.
On one side, it improves the protection of user funds and reduces tax evasion.
On the flip side, it…

— Starbase (@starbaseacc) September 2, 2025

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Exchanges Like Upbit and Bithumb Will Collect Identification and Transactional Data

Foreign traders dealing in BTC and other crypto assets on Korean platforms like Upbit and Bithumb will have their identification and transactional information collected. This data will subsequently be relayed through CARF to their home tax authorities starting in 2027.

Information about Korean nationals investing in foreign asset exchanges will also be disclosed to the National Tax Service (NTS). Currently, the NTS mandates voluntary disclosure of overseas financial accounts holding over KRW 500 million in stocks, deposits, and virtual assets. As reported by the NTS, the total amount of overseas virtual assets reported this year hit KRW 11.1 trillion, marking a rise of KRW 700 billion compared to the previous year.

“According to the Virtual Asset Information Trading platform Agreement, domestic virtual asset providers will be obligated to report personal and transaction details of residents from partner nations to their respective tax agencies starting next year,” the report indicated. “This data sharing is set to commence in 2027, but transaction records will be included starting next year.”

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Tether, Circle Approach South Korean Banks As Country Develops Stablecoin Regulatory Framework

South Korea is actively participating in the global initiative to regulate stablecoins. Recent efforts in the U.S. through the GENIUS Act and the CLARITY Act are evidently influencing South Korea to develop a formal regulatory framework. In August 2025, executives from the leading stablecoin issuers, Tether and Circle, arrived in Seoul to meet with financial leaders and regulators in the country.

The Governor of South Korea’s Central Bank – Bank of Korea (BoK), Lee Chang-yong, met with Circle President Heath. “Koreans should have the ability to access stablecoins in their national currency for purchasing and selling digital assets or conducting international remittances,” stated Tarbert.

In contrast, rival Tether adopted a more discreet strategy. CEO Paolo Ardoino engaged with executives from Hana Bank and KB Bank.

Read More: Tether And Circle Approach South Korean Banks As Country Develops Stablecoin Regulatory Framework

 

 

 

 

 

 

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