Crypto gifts to minors nearly triple ahead of new tax rules

Korean parents are gifting cryptocurrency to minors at nearly triple the rate of last year, seeking out tax savings before tighter oversight takes effect.

More Korean parents are gifting cryptocurrency to their children ahead of tighter taxation and regulatory oversight. The value of virtual assets gifted to minors nearly tripled in just one year, according to National Tax Service (NTS) data on Tuesday.

“Giving Bitcoin when its price is relatively low could also provide tax savings,” a parent who gifted 20 million won ($14,900) worth of Bitcoin to a preschool-age child this year said. As of Wednesday, the price of Bitcoin has fallen to $78,900 from $111,530 a year earlier.

A total of 423 virtual asset inheritances and gifts worth 45.86 billion won were reported last year, according to NTS data submitted to Democratic Party Rep. Jung Tae-ho.

Compared to a year earlier, the number of cases increased 240 percent and their combined value rose 340 percent.

Of the total, 4.03 billion won worth of virtual assets were gifted to minors aged 18 or younger last year — 2.7 times the 1.47 billion won recorded in 2024. The number of gift transactions nearly doubled to 103 from 53 over the same period.