Daily trading volume across South Korea’s five won-denominated virtual asset exchanges has dropped to about 412.7 billion won, down 88% from a year earlier, according to a report by JoongAng Ilbo cited by ChainCatcher. The downturn has come alongside a 41% contraction in total global crypto market capitalization to $2.322 trillion.
The slump has hit exchange operators across the board. Dunamu, the country’s leading crypto industry player, reported first-quarter revenue and operating profit declines of 55% and 78% year over year. Smaller exchanges are under sharper pressure: Coinone, Korbit, and Gopax, which already posted operating losses last year, are expected to remain in the red this year.
Korbit has sold parts of its holdings three times this year. Within 10 days this month, it sold 15 BTC and 60 ETH, bringing in about 1.6 billion won in cash. A director at Tiger Research described current conditions as a “second crypto winter,” citing the sharp drop in total crypto market value and the near absence of new projects. Even so, institutional adoption of blockchain in South Korea is moving ahead, with tokenized assets and stablecoins at the center. Large securities firms including Mirae Asset have recently acquired stakes in exchanges, while the government has repeatedly signaled its intent to push forward legislation for the Digital Asset Basic Act.
Daily trading volume across South Korea’s five won-denominated virtual asset exchanges has fallen to about 412.7 billion won, down 88% from a year earlier, according to JoongAng Ilbo, as cited by ChainCatcher. Total global crypto market capitalization also shrank 41% to $2.322 trillion.
The downturn has weighed heavily on local operators. Dunamu, the country’s leading crypto industry company, posted a 55% year-over-year drop in first-quarter revenue and a 78% decline in operating profit.
Smaller exchanges are facing a tougher stretch. Coinone, Korbit, and Gopax, all of which recorded operating losses last year, are expected to remain loss-making this year.
Korbit has sold parts of its holdings three times this year. Over a 10-day period this month, it sold 15 BTC and 60 ETH, raising about 1.6 billion won in cash. A director at Tiger Research said the current period can be seen as a “second crypto winter,” pointing to the sharp contraction in total crypto market value and the near absence of new projects.
Still, institutional adoption of blockchain is moving faster despite weak market conditions. The main focus is on tokenized assets and stablecoins. Large brokerage firms including Mirae Asset have recently acquired stakes in exchanges, and the South Korean government has repeatedly expressed its determination to advance legislation for the Digital Asset Basic Act, a sign that the market’s medium- to long-term growth potential is still viewed positively.
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