Korean Crypto Volumes Plummet as Investors Flee Risky Assets

The cryptocurrency trading volume in South Korea has experienced a significant drop in Q1 2026. According to data from CoinGecko, the average monthly trading volume on the country's five main won-based exchanges, Upbit, Bithumb, Coinone, Korbit, and Gopax, dropped from 125.2 trillion won to 98.1 trillion.

The decline in trading volume has led some to speculate that the nation's crypto market may be losing interest. However, experts argue that this is not the case, but rather a sign of maturity in the market.

The shift towards long-term holdings, coupled with investors turning to South Korea's thriving stock market and rising oil prices, have reduced appetite for risky assets like cryptocurrencies.

Despite Upbit and Bithumb controlling approximately 96% of trading volume, authorities are working to address market concentration through the Digital Asset Basic Act (DABA) Phase 2. This includes implementing ownership caps in an effort to promote a more diversified market.