Korean crypto investors reach 7.8m amid 27% market cap increase: report

South Korea’s crypto market grew rapidly in the first half of 2024; 7.8 million investors and daily trading volume increased by 67% to $4.4 billion.

Korea’s crypto market has seen significant expansion in the first half of 2024 due to the rise in Bitcoin (BTC) prices and increased investor interest. According to the news of South Korean daily newspaper Hankook Ilbo, based on data from the Financial Intelligence Unit of the Financial Services Commission, the number of crypto investors in South Korea increased by 21% from 6.45 million in the second half of 2023 to 7.8 million.

Daily trading volumes also skyrocketed, rising 67% to $4.4 billion, while market capitalization reached nearly $40 billion, reflecting a 27% increase. The increase also appears to be driven by Bitcoin’s recent rally, which saw prices surpass $73,000, reigniting interest in cryptocurrencies.

Demographically, male investors in their 30s constitute the largest segment with a total of 1.58 million, followed by those in their 40s (1.5 million) and those under 30 (1.08 million). The report states that male investors represent 68 percent of the overall market, and 67 percent of investors hold cryptocurrencies below $375, while approximately 10 percent have portfolios over $7,500. It is stated that only 1.3 percent have assets over $75,000.

In response to these market dynamics, South Korea plans to tighten regulations by introducing measures for better supervision of business activities. As Crypto.news previously reported, the government is considering regulations that would require firms trading cross-border crypto to register with authorities and report monthly transaction details to the Bank of Korea, the country’s central bank.