Bitcoin layer-two developer Alex Lab revealed that an investigation linked the North Korea-linked Lazarus Group to the .3 million exploit that occurred on May 16. Alex Lab has facilitated communication between the Singapore Police Force and relevant cryptocurrency exchanges as part of the ongoing investigation. Alex Lab Collaborates With Law Enforcement in .3M Hack Investigation […]
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South Korea’s Crypto Premium Drops Below 1% as Bitcoin and Ethereum Prices Align Globally
South Korea’s infamous crypto premium has diminished significantly, with bitcoin and ethereum prices now aligning closely with the weighted global averages, albeit with a minor premium. The BTC premium stands at 0.84%, while ETH’s premium is in a similar range. South Korea’s Crypto Premiums Slides When BTC reached its all-time high in March, the leading […]
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Korea’s Infinite Block Joins as XRP Ledger Validator, Bolstering Global Ecosystem
Infinite Block, a Korean virtual asset service provider, has announced its participation as a validator in the XRP Ledger (XRPL) blockchain. This move is expected to bolster the XRPL ecosystem within Korea’s unique regulatory environment. Infinite Block aims to provide XRPL and XRP services to corporations while adhering to domestic and international regulatory compliance. The […]
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South Korea’s Bitcoin Premium Narrows, Yet Remains Above Global Average
Recent figures show that despite bitcoin’s downturn in price, premiums in South Korea have diminished yet remain around ,800 to ,000 higher than BTC’s weighted global average price. Further metrics reveal that the South Korean won still ranks as the second most traded fiat currency against bitcoin, accounting for 2.07% of all spot bitcoin trades, […]
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South Korea’s Democratic Party to Introduce ETF and Digital Finance Reforms
South Korea’s Democratic Party of Korea (DPK) is eager to relax regulations on exchange-traded funds (ETFs), including those tied to spot bitcoin, despite resistance from the People Power Party (PPP). Although election concerns have temporarily halted the initiative, a crucial poll is set for April 10, and the parliament is predominantly controlled by the DPK-led […]
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South Korea’s Crypto Market Continues to Defy Global Trends With Premium Prices
Metrics reveal that cryptocurrency premiums in South Korea consistently outpace the global average. As of now, bitcoin exchanges hands at ,245 per piece globally, while on the South Korean platform Upbit, it’s being traded at ,513 each. Additionally, March witnessed a notable increase in Upbit’s trade volume, skyrocketing by 172.25% from February’s data. Ethereum, Solana, […]
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South Korea’s Bitcoin Premium Hits 2-Year High, Surpassing Global Rates by $4K
The latest data reveals that the premium on bitcoin in South Korea has escalated to its highest level in more than two years. At 7:30 a.m. Eastern Time (ET) on Thursday, the weighted global average price for bitcoin hovers between ,800 and ,000, whereas on the South Korean exchange Upbit, bitcoin’s price stands at ,076 […]
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Report: Election Concerns Halt South Korea’s Crypto and ETF Regulation Ease
South Korea has delayed its efforts to relax its crypto regulations and the prohibition on spot bitcoin exchange-traded funds (ETFs). This development follows closely behind the People Power Party’s contemplation of removing certain regulations and the ETF ban before the commencement of South Korea’s general election. South Korea Holds Back on Crypto Regulation and Reported […]
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South Korea’s Crypto Volumes Peak in 2024 as Upbit and Bithumb Dominate Local Market
In the last 100 days, South Korea’s crypto trading activity has experienced a significant upswing. The country’s leading crypto exchanges, Upbit and Bithumb, recorded their highest trading volumes in the initial week of January 2024. Despite the noticeable premium on South Korea’s crypto assets, the most popular traded coins in this region differ from the leading pairs found on global platforms such as Binance and Coinbase. This report offers a detailed examination of South Korea’s top crypto pairs, as ranked by their trading volumes.
Unique Top Tokens Define South Korea’s Crypto Scene
As of Jan. 15, 2024, the leading five cryptocurrencies on Binance, based on trading volume, are BTC, ETH, SOL, XAI, and TIA. Concurrently, Coinbase’s top five tokens by volume include BTC, ETH, SOL, OP, and TIA.
Binance and Coinbase stand as the world’s largest crypto exchanges in terms of 24-hour trading volume. However, in South Korea, Upbit and Bithumb dominate the local market. Notably, Upbit holds a significant share of the country’s aggregate crypto trading volume.
Although the top five digital currencies traded on Binance and Coinbase show considerable similarity, ethereum classic (ETC) emerges as the top coin on Upbit. ETC enjoys immense popularity in South Korea, with cryptocompare.com data revealing that 68.96% of its trades are conducted in Korean won.
This Ethereum fork also ranks as the fifth most traded by volume on Bithumb and holds the sixth position on Coinone. Furthermore, ethereum classic (ETC) is currently trading at a 4.65% premium on Upbit, while BTC is marked at a 4.40% premium on the same exchange, relative to average and weighted global exchange rates.
At Upbit, the top five cryptocurrencies by trading volume are ETC, BTC, T, SUI, and SOL. Meanwhile, Bithumb’s premier crypto assets include BTC, SOL, ETH, XRP, and ETC. Coinone’s leading five are BTC, XRP, WEMIX, ETH, and SOL. Notably, 80% of threshold network token (T) transactions are in Korean won, while 23.85% of SUI trades and 29.40% of all XRP swaps involve won settlements.
80.18% of WEMIX’s market trades are settled in won as well. These exchanges, along with Korbit, contributed to 2.8% of global ETH swaps and 6.93% of all BTC swaps over the last day. Data indicates that trading volumes on Upbit and Bithumb began escalating towards the end of September 2023, culminating in their peak during the first week of January. The daily trade volumes in January on both exchanges have exceeded any records set in 2023.
Over the last six months, South Korea’s digital currency trading market has seen remarkable growth, with record-breaking trading volumes on its regional exchanges. This trend is often seen as a positive sign for the future of crypto adoption in the country, as traders diversify their portfolios beyond the usual leading pairs found on international platforms.
What do you think about the rising volumes in South Korea and the difference in top coins compared to other international trading platforms? Share your thoughts and opinions about this subject in the comments section below.
South Korea’s Crypto Surge — Navigating the ‘Kimchi Premium’ and Massive Trade Volumes
Recent data reveals that South Korea’s crypto trading volume has surged in recent months, with two exchanges, Upbit and Bithumb, contributing over 10% to the global trading volume as of Jan. 4, 2024. Additionally, while the global price for bitcoin hovers around ,356 per unit, in South Korea, it commands a premium, trading at approximately ,317 per coin.
Tracing the Strong Won-to-Crypto Volumes and Premiums in South Korea
As of 8:00 a.m. Eastern Time on Jan. 4, 2024, the global crypto economy has seen a trade volume of approximately .98 billion, with bitcoin (BTC) maintaining a position above the K mark. A significant portion of this trading activity is rooted in South Korea; at this moment, Upbit has conducted billion and Bithumb .7 billion in 24-hour trades.
Together, these two exchanges represent 10.1% of the global crypto trade volume on Thursday. Likewise, South Korean exchanges Coinone and Korbit are experiencing increased crypto trade volumes.
Currently, South Korean platforms are trading bitcoin (BTC) at a premium; at the time of this writing, Upbit’s BTC is valued at 0 above the global average. With BTC priced globally at ,356 per unit, it is trading at ,317 per coin on Upbit, and similar premium rates are observed on Bithumb, Coinone, and Korbit.
Additionally, premiums are noted on SOL, ETH, and various other leading crypto assets. South Korea is historically known for its cryptocurrency premiums, commonly termed the “Kimchi Premium.”
This premium isn’t merely coincidental; it stems from a myriad of factors, primarily the high demand for BTC and other crypto assets within South Korea relative to its supply and international liquidity. Additional factors include rigorous capital controls, the regulatory landscape, and a somewhat insular market resulting from unique foreign exchange regulations.
While the South Korean government has expressed disapproval towards these elevated prices over the years, the premium trend persists. On Jan. 4, 2024, the Korean won accounts for 3.51% of the total bitcoin (BTC) trading volume and 8.06% of global SOL transactions.
The Korean won is particularly significant in the trading of crypto assets such as SEI, POWR, and BLUR, with 34.93% of SEI trades, 72.87% of POWR swaps, and 55.56% of BLUR transactions being conducted in won.
Other cryptocurrencies that are popular among South Korean traders include LSK and ETH. Normally, crypto traders would try to exploit the price difference between two markets for profit, and sometimes people are quite successful.
However, the strict capital controls and regulatory frameworks in South Korea can make such arbitrage opportunities challenging and less efficient, thereby sustaining the premium in the localized region. While the future of these premiums and the broader crypto market remains uncertain, the current trends reflect a robust engagement with digital assets in South Korea.
What do you think about the significant trade volume settled in won and the premiums on specific crypto assets on Upbit, Bithumb, Coinone, and Korbit? Share your thoughts and opinions about this subject in the comments section below.