Korean Crypto Trading Volume Has Surpassed The National Stock Exchange By Scott Chipolina 2 min read Mar 15, 2021
Crypto traders in South Korea have pushed crypto transaction rates higher than the national stock market.
In brief
* Crypto transactions in South Korea hit a higher rate than the national stock market.
* Bitcoin's rise to yet another all-time high over the weekend is one potential reason for the surge
Cryptocurrency transaction rates in South Korea have surged past the transaction rate for the national stock exchange, according to local news outlet Hankyung.
Per Hankyung, yesterday’s total amount of transactions combined for the four major crypto exchanges in Korea—Upbit, Bithumb, Coinone, and Kobit—was $14.6 billion.
That figure exceeded the average daily transaction amount of the KOSPI Index, a capitalization-weighted index of common shares on the Korean Exchange, and KOSDAQ—the Korean Securities Dealers Automated Quotations—which has about 1,000 small to medium-sized startups listed on it, and is considered much more risky than the Kospi Index.
The combined KOSPI and KOSDAQ figures were approximately $14.5 billion and $10 billion respectively.
What caused the surge?
There are several explanations for why the crypto market saw a higher level of transactions than Korea’s national stock exchange.
The most obvious explanation was that this transaction surge occurred during Bitcoin’s most recent all-time high of $61,683. From the start of the COVID-19 pandemic to October 2020, the US Federal Reserve printed about 20% of all US dollars in circulation, placing inflationary pressure on the currency. In response, many have turned to Bitcoin as a convincing hedge against inflation, pushing Bitcoin’s price into uncharted territory and generating high levels of transactions on exchanges.
The Hankyung report also credits the rising demand for institutional Bitcoin investment through companies like Grayscale—whose assets under management now exceed $44 billion—and other industry developments like Bitcoin ETFs now being established in Canada.
But regardless of what happens in North America, the conditions for a surge like this have been present in South Korea itself. A government stimulus package of last year revealed the government was focused on a “digital new deal” aimed at extracting value from upcoming technologies, including blockchain.
What’s more, in January of this year, the “Kimchi Premium,”—a phenomenon that describes higher prices on Korean exchanges—suggested that investor sentiment for Bitcoin was already on the rise.
Crypto Investments in India Skyrocket by 19,900% in One Year Despite regulatory uncertainty, cryptocurrency investments in India grew from about $200 million to nearly $40 billion over the past year. By Andrew Asmakov 2 min read Jun 28, 2021
In brief
* Indians are going nuts for crypto, a new report shows.
* But regulatory uncertainty in the country mires their ambitions.
Despite continued regulatory pressure from the country’s government and central bank, Indian investors demonstrate increased confidence in cryptocurrencies.
According to data from blockchain forensic firm Chainalysis, crypto investments in India rose over the past year by as much as 19,900%—from $200 million to nearly $40 billion—Bloomberg reported on Monday.
The surge in investment comes despite regulatory uncertainty around the status of crypto in India, with the country's central bank repeatedly threatening to impose a ban on cryptocurrencies. The Reserve Bank of India (RBI) even went so far as to bar local financial institutions from serving crypto companies in April 2018.
Even though last month the RBI backtracked, telling banks that they can ignore a 2018 circular that prohibited them from working with crypto companies, uncertainty remains over India's next steps.
The government has softened its stance somewhat, with the country's finance minister mooting a "window" to allow experimentation with crypto. The government has also convened a panel of experts to consider regulation, arguing that a forthcoming crypto bill will protect investors from volatility.
As Chainalysis's data shows, the authorities' muted enthusiasm for crypto isn't matched by that of local investors, with Indians aged 18 - 35 showing the most appetite for crypto.
“They find it far easier to invest in crypto than gold because the process is very simple,” Sandeep Goenka, the co-founder of local exchange ZebPay told Bloomberg. “You go online, you can buy crypto, you don’t have to verify it, unlike gold.”
When it comes to profits on Bitcoin investments though, India, according to another Chainalysis report released earlier this month, is lagging behind other markets, ranking 18 out of the top 25 nations at just $241 million.
To put this in perspective, the US topped the list at $4.1 billion followed by China ($1.1 billion), Japan ($900 million), the UK ($800 million) and Russia ($600 million).
According to Chainalysis, this may be a result of the Indian government’s hostility toward the cryptocurrency, as the RBI’s 2018 ruling made it “extremely difficult” for local residents to purchase or trade digital assets.
Market Data 
Markets 
AI
