South Korea Excludes Digital Currencies from Donation Legislation

South Korea has excluded digital currencies from its newly amended donation legislation, which could impact charities and donation drives in the country. Starting in July, individuals will be able to donate to charitable organizations using various methods such as gift vouchers, stocks, and loyalty points, but not cryptocurrencies like Bitcoin. The Ministry of Public Administration did not provide a reason for excluding digital asset donations, despite their popularity in South Korea. However, the legislation will allow donations in local government-issued stablecoins and blockchain-issued gift vouchers. This decision comes as global donations using cryptocurrency have reached an estimated $2 billion as of January 2024, according to TheGivingBlock. In contrast, more than half of American charities now accept digital asset donations. South Korea has also been working to combat crypto-related crimes and financial fraud, with plans to promote its temporary crypto crime investigative unit into an official department. Regulatory hurdles have also hindered Singapore-based crypto exchange Crypto.com's entry into the South Korean market. In April, South Korean authorities found Anti-Money Laundering (AML)-related issues with the exchange and conducted an on-site inspection.

Sources :
- CoinTelegraph