South Korea locks in 22% crypto tax for 2027 as traders brace for offshore exodus

South Korean government has made a decision on the previously delayed 22% tax on profits from virtual assets, ending policy uncertainty over crypto taxation. Decision increases tax reporting and compliance obligations for traders, CEXs, DEXs and DeFi participants, with potential to damp short-term trading volume but improve regulatory clarity. Regulatory clarity could influence market flows and adoption in Korea; watch for the implementation timeline, enforcement rules and effects on token prices and institutional participation.