Dozens of cardano users are being investigated for tax evasion in Japan: report | Currency News | Financial and Business News
- Dozens of cardano users are being investigated for not paying tax on their investments, according to a report by Nikkei.
- Kanto Shinetsu National Taxation Bureau has been investigating the 1.4 billion yen of tax missing, the report said.
- Reporting tax on digital currency investments has been a priority for Japanese authorities since 2018.
- Sign up here for our daily newsletter, 10 Things Before the Opening Bell.
Dozens of cardano network users have been investigated by authorities in Japan for tax evasion, according to a report by media outlet Nikkei on Sunday.
The Kanto Shinetsu National Taxation Bureau in Japan has been investigating 1.4 billion yen ($12 million) worth of missing tax. Ada investors based in the Japanese cities of Saitama, Tochigi, Gunma, Niigata, and Nagano among others were subject to investigation.
Japanese tax authorities have made reporting liabilities from digital currency investments a priority since 2018, the report said. The Tokyo National Taxation Bureau has also undertaken large-scale tax examinations, Nikkei added.
The Kanto Shinetsu National Taxation Bureau was not immediately available to comment when contacted by Insider.
Tax and regulatory authorities around the world have increased their scrutiny of crypto-assets as they have gained momentum and more mainstream adoption. Cardano, and its ada token, has seen a huge influx of investment, thanks in part to a recent upgrade that enabled the blockchain to host smart contracts
Ada is the 4th biggest coin by market capitalization after bitcoin and ether. Ada is one of the top performing cryptocurrencies of 2021, having gained over 1,000% so far this year, according to Binance data. It was last down 4.6% on the day to trade around $2.174 by 11:30 a.m. ET.