The number of digital asset investors in South Korea increased significantly at the end of 2024. South Korea has for the first time collected detailed statistics from major cryptocurrency exchanges (Upbit, Bithumb, Coinone, Korbit, Gopax).
This development can enable the government to create a safe trading environment, protect investors' rights, and ensure market stability.
South Korea, 15.59 million cryptocurrency investors
According to Yonhap News, Democratic Party of Korea member Kwang-hyun Lim (member of the National Assembly's Strategy and Finance Committee) released data from the Bank of Korea. This data shows that as of the end of November, the number of domestic digital asset investors reached 15.59 million, an increase of 610,000 from the end of October. This figure accounts for 30% of South Korea's total population (about 51.23 million).
In November, the daily average trading volume of South Korea's digital asset exchanges reached KRW 14.9 trillion (about $105 billion), which is almost the combined trading value of the KOSPI stock market (KRW 9.92 trillion) and KOSDAQ (KRW 6.97 trillion).
As of the end of November, the total value of digital assets held by South Korean investors reached KRW 102.6 trillion (about $703 billion), a significant increase from KRW 58 trillion ($397 billion) in October.
The deposit balance held on exchanges and not invested reached KRW 8.8 trillion (about $603 million) by the end of November, a sharp increase from KRW 4.7 trillion ($32 billion) at the end of October.
"The size of digital asset trading has grown rapidly to a level comparable to the stock market. The government must thoroughly prepare to create a safe trading environment, protect user rights, and ensure market stability." - Kwang-hyun Lim, emphasized.
Additionally, according to Kaiko's data, trading volume on South Korea's cryptocurrency exchanges surged in November, with most of the activity concentrated on Upbit. Upbit's market share skyrocketed from 43% between September 2020 and May 2021 to nearly 90%, and has remained at a high level since then. 88% of trading activity on Upbit is in altcoins.
However, South Korea's cryptocurrency market is still experiencing some turmoil, particularly after President Yoon Seok-yeol's sudden declaration of martial law. Although the martial law was later revoked, cryptocurrency trading still faces many regulatory hurdles.
