June 26, 2022

South Korean blockchain operator Dunamu, of cryptocurrency exchange Upbit, announced that it has launched a new trading platform for nonfungible tokens. The move comes in order to further expand its footprint in the virtual asset space.

The company has opened Upbit NFT Beta service on its website, in which its users can sell and purchase NFTs via auctions.

According to the company, users using the “Drops” function depending on the art piece can choose whether to participate in English where the highest bidder wins, or Dutch auctions where the bidding starts with the highest price and goes lower.

Famous pop artist Jang Koal will also make NFT art available for bidding soon.

The platform mentioned that it also plans to showcase NFTs in areas other than fine arts such as sports, broadcasting, fashion and game illustration.

Users who bid on NFTs successfully on the website will be able to sell them by using its “Marketplace” function, while a portion of the platform’s commission fees goes to the artists whose works the NFTs are based on.

After the beta test, the company will make available a mobile service soon.

Dunamu mentioned that NFT is becoming a big trend in the digital era. It will provide a safe and convenient trading service that will in turn contribute to expanding the domestic NFT market.

Earlier in June, the operator had entered a partnership with Seoul Auction Blue and ISA Company to enter the NFT business. And recently it had announced plans to establish a joint NFT corporation with Korean entertainment companies like JYP and Hybe.

In other news the country’s Financial Services Commission mentioned that it might impose tax on nonfungible tokens, thus adding fuel to controversy surrounding virtual asset taxation in the country.

According to the country’s law, owners of virtual assets, any certificates that has economic value and is available for electronic transaction, must pay 20 percent tax on the income that exceeds 2.5 million won ($2,102) from selling the assets, such as NFT artworks of a famous artist.

And if an actual painting is sold, the person must pay 22 percent of tax on the income that exceeds over 60 million won.