TechFlow News, March 21: According to ZDNet Korea, South Korea’s National Tax Service (NTS) is advancing plans to entrust the custody of seized virtual assets to private professional custodial service providers, with the selection process expected to be completed as early as the first half of this year. This initiative follows a virtual asset theft incident last month, during which the NTS inadvertently disclosed mnemonic phrases while announcing on-site inspection results—leading to two separate thefts of the seized virtual assets.
The NTS stated that its selection criteria for custodial service providers will prioritize security requirements, corporate scale, and whether the provider carries insurance under the Virtual Asset User Protection Act. Detailed evaluation guidelines are currently being drafted. Ko Young-il, Head of the NTS’s Virtual Asset Management System Upgrade Task Force, noted that delegating custody to professional institutions is a common practice among developed countries and confirmed implementation within the first half of this year.
In addition, the task force will also refine the end-to-end operational manual covering seizure, custody, and disposal procedures, and prepare to establish a dedicated “Digital Assets General Division” responsible for managing virtual asset-related affairs. The official launch date will be finalized following consultations with the Ministry of the Interior and Safety.
