Government to push to mandate reporting of virtual asset sale proceeds in real estate transactions

The government plans to make it mandatory to include in the funding plan the proceeds from virtual assets (cryptocurrencies) when they are cashed out to purchase real estate.

According to industry sources on the 7th, the government announced measures to expand housing supply that include this. It explained that if proceeds from virtual asset sales are among the sources of funds for housing purchases, they should be specified in the own funds section, just like stocks and bonds.

This measure was taken to increase the transparency of funds used in real estate transactions and to block the inflow of illegal funds into the market.

The government plans to supply a total of 1.35 million new homes, at a scale of 270,000 homes per year, centered on Seoul and the metropolitan area over the next five years. It will also promote reconstruction and redevelopment projects to address supply-demand imbalances.

In particular, when trading homes within land transaction permit zones, submission of a funding plan and supporting documents will be required. Through this, the government aims to curb illegal speculative demand.

Kim Yun-deok, Minister of Land, Infrastructure and Transport, said, "Sufficient supply is important for the fundamental stability of the housing market," and "We will establish market order so that the supplied housing can be fairly allocated to actual homebuyers."