Cryptocurrency held on overseas exchanges is difficult to verify during asset reviews for debt restructuring applications in South Korea, officials said. The Credit Counseling and Recovery Service counts an applicant’s cryptocurrency as an asset, but says holdings on overseas exchanges cannot be traced and are hard to identify unless the applicant discloses them.
Current debt restructuring rules at the service do not list cryptocurrency as a separate asset category, according to financial industry sources on the 2nd. Applicants typically report their assets and debts, and the service conducts its asset review based on those filings.
The problem is that the service depends heavily on applicants’ own statements when checking…