Q&A: How Will CARF Tax Regulations Impact Chinese Crypto Investors? The CARF (Crypto-Asset Reporting Framework) developed by the OECD is essentially the crypto version of CRS, aimed at strengthening crypto tax oversight through cross-border information exchange. So far, 54 countries have signed on, including tax havens like the Cayman Islands and the UK. Hong Kong is expected to legislate in 2026, start collecting data in 2027, and begin exchanges in 2028. Mainland China has not signed yet, leaving a tax vacuum, but crypto gains are still taxable. Converting to fiat or cross-border transfers may trigger tax recovery, so high-net-worth individuals should plan ahead. Under CARF, existing assets could theoretically be traced, but data prior to signing is usually not exchanged. Actual tax recovery depends on the information chain and enforcement intensity. Hong Kong residents face low tax burdens, with no capital gains tax and generally no additional taxes on crypto trading, but attention should be paid to salary tax and foreign trade settlement rules. It’s recommended to plan reasonably and compliantly. Long-term holding of unrealized gains typically doesn’t incur tax liability. CARF focuses on regulating crypto-to-fiat transactions and on-chain activity. Read the full article: https://www.(wublock123.com)/index.php?m=content&c=index&a=show&catid=47&id=57053