South Korea's Top Five Crypto Exchanges Weekly Trading Volume Falls to Three-Year Low
According to Digital Asset, the trading volume of South Korea's top five crypto platforms fell to approximately 8.06 trillion KRW in the latest week, marking the lowest level in three years.
Among them, Upbit holds a market share of 63.57%, Bithumb 29.18%, Coinone 6.41%, Korbit 0.76%, and GOPAX 0.07%.
The decline in crypto market activity has put pressure on the revenue of trading platforms, with funds flowing towards compliant exchanges, posing survival challenges for smaller platforms. The concentration of South Korea's crypto ecosystem has further increased, reflecting a decline in investor risk appetite and the impact of the macro environment.
Source: Public Information
ABAB AI Insight
South Korea's crypto trading had previously maintained high activity levels, with platforms like Upbit benefiting from relatively clear regulations and retail participation, achieving record trading volumes during the bull markets of 2021 and 2024-2025.
On the capital front, the decline in trading volume has led to reduced fee income, prompting platforms to shift resources towards compliance and diversified services, motivated by the need to maintain user stickiness and respond to tightening regulations.
Similar to the cyclical fluctuations in revenue for global exchanges during bear markets, the current South Korean market is in a phase of localized adjustment, with a continuing trend of concentration among leading platforms.
Structural Judgment: Essentially, this is a concentration of capital, where a sluggish market accelerates the concentration of trading volume towards leading platforms, transferring pricing power from decentralized exchanges to regulatory-friendly giants. This mechanism amplifies the advantages of leading platforms due to a decline in retail participation and reduced liquidity.
ABAB News · Law of Cognition
- Lower trading volume leads to higher shares for leading platforms.
- Bear markets cleanse platforms, while bull markets amplify concentration.
- Where regulations are clear, capital and users converge.