Catenaa, Thursday, October 16, 2025-South Korea’s largest cryptocurrency exchange, Upbit, now dominates 72% of the nation’s crypto trading market, raising concerns about a de facto monopoly as smaller exchanges struggle to maintain relevance.
Data from the Financial Supervisory Service (FSS) shows Upbit’s trading volume reached 833 trillion won ($642 billion) in the first half of 2025, out of a combined 1,162 trillion won ($895 billion) across all domestic platforms.
Upbit’s closest rival, Bithumb, accounted for 300 trillion won ($223 billion), while other exchanges, Coinone, Korbit, and GOPAX, saw negligible activity, with market shares of 1.8%, 0.5%, and 0.2% respectively.
User numbers reflect a similar concentration, with 53% holding Upbit accounts and 37% using Bithumb.
The remaining three exchanges together account for just 10% of total users. Analysts warn the gap could widen further, especially if Upbit merges with Naver, South Korea’s largest internet company, and Bithumb pursues a NASDAQ listing in 2026.
Industry insiders caution that Upbit’s market control over listing policies and fee structures could pose systemic risks and reduce competitive options for investors.
Lawmakers have repeatedly called on regulators to ensure fair competition as the exchange approaches dominance comparable to U.S. giants like Coinbase.
Smaller domestic exchanges are now at risk of extinction unless market conditions shift, while Upbit’s lead continues to solidify amid rapid adoption and trading growth.
