Korean Game Firms Dump Crypto Amid Market Slump

Korea's game companies have been hit hard by the slump in the virtual asset market. According to data from the Financial Supervisory Service, major game firms such as Netmarble and Neowiz have sold large quantities of virtual assets, including Bitcoin (BTC), Ethereum (ETH), and Tether (USDT). In some cases, these sales resulted in significant losses for the companies.

Netmarble made particularly large-scale sales of 13 types of virtual assets in the first quarter. It disposed of 37.50 BTC and 164.19 ETH, which left it with a mere 0.01 and 0.49, respectively, at the end of the first quarter. The company took losses of about 836 million won on its Bitcoin sales, as well as 1.987 billion won on Tether (USDT) and 449 million won on KAIA.

Neowiz also suffered losses while disposing of its virtual assets in the first quarter. It sold 16 Bitcoin and 169 Ethereum, resulting in losses of about 433 million won and 233 million won, respectively. The company's net loss on virtual asset disposals in the first quarter was about 670 million won.

Some game companies have adjusted their portfolios to respond to the changing market conditions. Wemade decreased its Bitcoin (BTC) holdings by about 800 million won, while increasing its share of stablecoins such as Tether and USD Coin to defend against a decline in overall book value returns.