TechFlow news, on October 10, according to Cointelegraph, recent developments in South Korea's legal sector indicate that cryptocurrency and bitcoin holdings can now be treated as marital property subject to division in divorce proceedings. IPG Legal, a law firm specializing in South Korean legal affairs, provided detailed clarification on this matter. Under Article 839-2 of South Korea’s Civil Code, both spouses have the right to request the division of jointly acquired assets during the course of a marriage. IPG Legal noted that as early as 2018, South Korea’s Supreme Court ruled that cryptocurrencies and virtual assets, due to their economic value, are recognized as intangible assets and therefore fall within the definition of property.
This legal interpretation means that cryptocurrencies acquired during the marriage can be included in the scope of marital property in South Korea. If one spouse is aware that the other holds a cryptocurrency exchange wallet, they may petition the court for a "fact-finding" process to determine the value of the holdings. Because blockchain technology maintains an immutable and tamper-proof record of all transactions, tracking cryptocurrency investments is easier than tracing traditional cash. Bank withdrawal records and other financial investigations may also reveal previously unknown cryptocurrency holdings. During asset division, parties may choose either to liquidate the cryptocurrency before distribution or directly share the tokens.
