The government of South Korea has made over $10 million from the sale of Bitcoins confiscated some years back. The government was able to auction the crypto following the authority provided in the law through the passing of South Korea’s crypto law in March.
The coins that were worth $238,000 in 2017 were seized from a criminal who is now convicted for allegedly operating a pornographic website. According to the state prosecution, the Bitcoin was sold to an unidentified crypto exchange, and all the funds credited to government accounts.
Strict Crypto Rules in South Korea
In March 2020, the Korean government amended its Special Finance Transaction information to accommodate the growing use of digital assets in the country. The amendment affected mostly Virtual Asset Service Providers who needed to change their AML/KYC procedures.
The platforms were also required to provide hold valid bank accounts and also acquire an ISMS certificate from the Korea Internet and Security Agency.
Sale of Seized Crypto
South Korea’s sale of the seized Bitcoin isn’t isolated. Last year, Ireland sold over 86 Bitcoins that were owned by a criminal. The United States has also done similar sales through special enforcement agencies in the country.
The French government also auctioned crypto worth millions of Euros seized from hackers. In the French case, the seized crypto was sold at almost five times its value at the point of seizure due to the rapid increase of prices over time.