Advancing Precise Virtual Asset Taxation: CryptoTax and Uppsala Security Foster Technical Collaboration
Singapore, August 7th 2023 — Uppsala Security, a state-of-the-art provider of award-winning security tools and services for Crypto AML/CTF, Transaction Risk Management, Regulatory Compliance, Transaction Tracking, and Cyber Security announced today a significant collaboration with CryptoTax, a virtual asset tax service platform headquartered in South Korea. This strategic partnership is geared towards fostering technical collaboration and ensuring precise tax calculation as well as tracking of virtual assets.
In South Korea, virtual asset taxation is scheduled to begin in 2025, following the implementation of the amendment to the Income Tax Act. Consequently, there is a need to calculate a more accurate and reasonable virtual asset tax amount for the investor’s virtual asset acquisition value. Based on this context, the two companies have announced through this MOU that they will promote technology development and business cooperation to address various problems that may arise between public tax authorities and investors.
Additionally, the two companies plan to enhance transparency in tax calculation and application by utilizing Uppsala Security’s awarded virtual asset transaction tracking capabilities. These tracking capabilities will address various tax evaluation methods, including coin-to-coin sales, profits gained through overseas exchange trading, and transactions involving virtual asset wallets among individuals. These aspects have previously remained in the taxation blind spot. The utilization of this technology will enable reasonable tax collection and concurrently facilitate sincere tax payments.
CryptoTax provides a comprehensive one-stop platform for managing individual or corporate virtual assets and tax calculations. Meanwhile, Uppsala Security’s virtual asset tracking and analysis solution, CATV (Crypto Analysis Transaction Visualization), is already utilized by public tax agencies. The partnership between the two companies seeks to explore new initiatives to support virtual asset tax collection efforts by public tax agencies.
Uppsala Security’s CATV has proven its capability to track and support major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH) and ERC-20 tokens, Litecoin (LTC), TRON (TRX), EOS (EOS), Stellar (XLM), Ripple (XRP), Bitcoin Cash (BCH), Binance Coin (BNB), and more.
Yoon Dong-hwan, CEO of CryptoTax, stated, “Major foreign countries that have already implemented virtual asset taxation are effectively addressing tax blind spots through collaboration between tax authorities and private companies. With this cooperation, we aim to establish a public-private partnership model for domestic virtual asset taxation.”
Koo Min-woo, Uppsala Security’s South Korea Country Manager, mentioned, “Through the integration of CryptoTax’s technology for calculating the income value of virtual asset investments and Uppsala Security’s wallet address transaction tracking solution, we can also develop our proprietary technology for tax audits.” He further added, “Our ultimate goal is to collaborate closely in technology development to effectively combat tax evasion, tax avoidance, and ensure proper tax revenue collection for various scenarios arising in the virtual asset market. These aspects are of paramount importance to ensure the rightful implementation of regulatory measures and the deserved adoption of these innovative decentralized technologies, all while avoiding any tax challenges along the way.”
About CryptoTax
CryptoTax is a South Korean software company that offers a novel approach to tracking cryptocurrency transactions for tax purposes. The platform provides real-time information and monitoring capabilities, specifically catering to individuals and entities focused on investing in virtual assets.
About Uppsala Security
Uppsala Security built Sentinel Protocol, the first crowdsourced Threat Intelligence Platform powered by artificial intelligence, blockchain technology, and machine learning. Supporting the framework is a team of experienced cyber security professionals who have developed an award-winning suite of advanced tools and services for Crypto AML/CFT, Transaction Risk Management (KYC/KYT), Transaction Tracking, Regulatory Compliance, and Cybersecurity enabling end-users and organisations of every type and size to protect their crypto assets from malicious attacks and scams while meeting stringent regulatory compliance standards.
