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South Korea is planning to classify crypto companies as startups to enjoy policy benefits
BlockBeats News, July 9th, according to The Block, the South Korean Ministry of SMEs and Startups announced today its plan to amend the current "Act on Special Measures for the Promotion of Venture Businesses." It proposes to allow virtual asset trading and brokerage service providers to register as "venture companies," thereby making them eligible to receive government support policies.
In South Korea, a "venture company" is a small or startup company that has been formally certified by the government. To be certified, the company must meet certain criteria in terms of investment scale, R&D intensity, or technology assessment and enjoy benefits such as tax breaks and financing support.
Under the current regulations, since 2018, blockchain-based cryptocurrency trading and brokerage businesses have been excluded from the scope of venture company certification and have been classified in the same restricted category as bars and nightclubs.
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