South Korea crypto volumes shrink as retail investors shift to stocks
South Korea’s major won-based crypto exchanges saw sharp volume declines over the past year as the KOSPI stock index surged, suggesting retail speculative money may be rotating from crypto into equities. CoinGecko-based analysis of Upbit, Bithumb, Coinone, Korbit, and Gopax found average daily trading volume fell about 77% year over year on an equal-weight basis, and roughly 89% on a combined basis, to $305 million from $2.82 billion. The KOSPI rose 114.44% over the same 12 months, highlighting a strong contrast with weaker crypto activity. A separate report said lower trading fees were pressuring exchanges, with some even selling crypto holdings to raise cash. The decline may reflect investor fatigue with stale crypto narratives and better returns elsewhere, rather than a complete loss of interest. The market appears to be shifting from retail-driven speculation toward more institutional participation, including banks and financial groups exploring stablecoins, tokenized assets, and exchange investments.
