Daily Crypto Transactions Skyrocket in South Korea

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As a seasoned analyst with years of experience navigating the ever-evolving world of finance and technology, I find the recent surge in daily crypto transactions in South Korea nothing short of intriguing. Having closely observed the digital asset market’s evolution over the past decade, it’s clear that this trend is not just a fleeting fad but a testament to the growing acceptance and adoption of cryptocurrencies globally.

2024 saw a significant surge in daily cryptocurrency transactions within South Korea, reaching unprecedented heights. According to local statistics, the average daily transaction volume experienced a substantial rise of approximately 67% during the initial half of the year.

There’s been a substantial surge in the cryptocurrency market lately, and Bitcoin (BTC) has breached the important $70,000 barrier. As investors globally celebrate these long-desired profits, crypto trades in South Korea have reached new peaks.

South Korea Sees 67% Surge in Daily Crypto Transactions

The crypto sector is experiencing a strong surge, with Bitcoin surpassing $70,000 this week. This bullish trend has led to South Korea witnessing all-time highs in crypto transactions. According to recent local news, the “Virtual Asset Business Operator Survey” indicates a significant rise in cryptocurrency adoption. The survey findings reveal that domestic virtual asset investors grew by 21% to approximately 7.78 million in the first half of 2024, up from 6.45 million in 2023. Additionally, daily transaction values increased by 67%, from 3.6 trillion won to 6 trillion won during the same period. Furthermore, data analysis suggests that the market capitalization of virtual assets expanded by 27% to 55.3 trillion won concurrently, while the combined profits of 21 South Korean virtual asset business operators rose by 106% to 590 billion won.

According to a local news report, it appears that Bitcoin’s recent surge in value may be linked to a more optimistic outlook among investors, as there is growing speculation about former President Donald Trump’s chances of winning the U.S. election. South Korea’s Financial Intelligence Unit told local journalists that this could be the case.

“The increase in investment into the U.S. Bitcoin spot ETF and the supportive virtual asset policies announced by U.S. presidential candidates have contributed to a surge in the value of virtual assets.

South Korea Plans to Monitor Cross-Border Crypto Transactions

In light of increasing cryptocurrency usage within South Korea, the government is tightening its grip on the industry’s regulation. As per The Korea Times, the South Korean administration intends to enforce rules governing cross-border movements of digital assets. At a G20 summit in Washington, South Korean Finance Minister Choi Sang-Mok revealed enhanced surveillance measures to tackle tax evasion and illegal foreign exchange operations, which have been challenging for law enforcement to monitor. The Minister stated that the country intends to make businesses handling international cryptocurrency transfers register and report all transactions to the central bank on a monthly basis.

2025’s actions will commence during the second quarter, following the creation of a legal structure by the government, as stipulated by the Foreign Exchange Transactions Act.

2023 saw the South Korean government emphasizing transparency and strict regulations within the digital asset market, with the Financial Services Commission (FSC) proposing guidelines such as requiring companies to disclose their cryptocurrency holdings. The nation appears receptive towards blockchain technology, creating a favorable atmosphere for digital asset investment. In December 2023, the FSC introduced a rule stipulating that investors should earn interest when depositing funds into crypto exchanges. Furthermore, the Bank of Korea (BOK) plans to leverage blockchain technology by launching a pilot program for central bank digital currency (CBDC) in Q4 2024.

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2024-11-01 21:02