On May 17, 2024, the Financial Services Commission (FSC) of South Korea released a report highlighting the nation’s massive interest in cryptocurrency. According to the report, over 6.45 million South Koreans are now actively trading cryptocurrencies. This figure represents 12.9% of the country’s total population, showcasing a significant rise in digital asset engagement.
Massive crypto users in South Korea
The survey further disclosed that a large portion of these crypto enthusiasts are small investors. Approximately 4.55 million people, or roughly 70% of the total crypto traders, hold cryptocurrencies valued below $734. Although this number is not so great it highlights investors’ interest in cryptocurrency.
The Korea Financial Intelligence Unit (KOFIU) reported a significant uptick in the crypto market during the latter half of the year, driven by rising cryptocurrency prices and improved investor sentiment. Key indicators such as trading volume, market capitalization, exchange operating income, and deposits in Korean won all saw increases.
In the first quarter of 2024, the South Korean won emerged as the most traded currency against crypto-assets globally, overtaking the US dollar. Upbit, the leading exchange in South Korea, has occasionally ranked among the top five exchanges worldwide by trading volume.
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The report also mentioned a revival in the number of crypto trading users since the first half of 2023. These users account for over 10% of South Korea’s population, with the vast majority being individual investors. Notably, nearly 60% of these investors are in their 30s and 40s.
During this period, South Korea’s daily average crypto trading volume rose by 24%, reaching 3.6 trillion won ($2.6 billion). Additionally, the total value of cryptocurrencies held by registered exchanges jumped by 53% to 43.6 trillion won.
This massive number in crypto trading aligns with the popularity of digital assets which is caused by factors like technological advancements, increased accessibility, and the potential for high returns.