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- GT Airdrop Is Live! 1.92M GT Burned in Q2, Worth Over $39M
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South Korea plans to classify encryption companies as startups to benefit from policy incentives.
On July 9, according to The Block, the South Korean Ministry of SMEs and Startups announced today plans to revise the current "Special Act on Promotion of Venture Enterprises" to allow virtual asset trading and brokerage service providers to register as "venture companies," thereby making them eligible for relevant government support policies. In South Korea, a "venture company" refers to small and medium-sized enterprises or startups that have been officially certified by the government and must meet certain standards in investment scale, R&D intensity, or technology assessment in order to obtain certification and enjoy tax reductions, financing support, and other preferential policies. However, under current regulations, since 2018, blockchain-based encryption asset trading and brokerage companies have been excluded from the certification scope of venture companies, categorized alongside restricted industries such as bars and nightclubs.