According to Cointelegraph: Upbit, one of South Korea’s largest cryptocurrency exchanges, recorded a 24-hour trading volume drop to $3.8 billion at the start of April, following its yearly high in March. Notably, the exchange’s daily trading volume hit nearly $15 billion on March 5.
Bitcoin reaching a new all-time high of $69,200 contributed to the surge in Upbit's daily trading volume. Large inflows in the new spot Bitcoin exchange-traded funds (ETFs) in the U.S primarily drove this high. Interestingly, Bitcoin exceeded $70,000 — equivalent to nearly 96,734,000 South Korean won — on Upbit on March 5, contributing to the exchange’s trading volume surge for this period.
The price discrepancy between South Korea and the rest of the world is often referred to as the "Kimchi Premium", stems from the traditional Korean dish “Kimchi.” However, the March surge did not persist, as the exchange's daily trading volume plunged to $2.6 billion on March 31, with CoinGecko listing the current 24-hour trading volume for April 1 at $3.8 billion.
Upbit’s parent company, Dunamu, reported an 81% net profit decline in 2023. The company attributed the decreased profits to a sluggish investment market due to economic downturns and reduced digital asset prices.
Despite Dunamu’s dip in profits in 2023, Upbit persisted in its business expansions. On January 9, the exchange obtained a Major Payment Institution license from Singapore’s central bank, enabling the company to offer crypto and fiat-linked services in Singapore.
