PANews reported on July 5th that according to BusinessTimes, a recent global stablecoin boom has led to significant stock price increases for companies related to this developing technology, raising concerns among some investors. Kakaopay, listed on the FTSE Global Fintech and Blockchain Index in Seoul, has outperformed all peers this year, with its stock price rising almost twice that of Robinhood Markets Inc., despite massive retail investor purchases, institutional investors have been net sellers.
Eugene Asset Management's Chief Investment Officer SeokKeun Ha in Seoul stated that the stablecoin boom reminds him of the situation when retail investors blindly bought metaverse-related stocks in 2020 and 2021, which is essentially a policy bet driven more by market sentiment than fundamental factors. Cha So-Yoon, stock investment manager at Taurus Asset Management, believes it is too early to judge whether stablecoin companies' stock prices are reasonably valued, but nonetheless, stablecoins will be issued, and issuers will generate billions of dollars in revenue.
