The five major won-based exchanges—Upbit, Bithumb, Coinone, Korbit, and Gopax—facilitated 2.76 trillion won in outbound transfers during June, while receiving only 2.20 trillion won in return. This persistent capital flight underscores a growing reliance on foreign platforms for services currently unavailable within South Korea, including leveraged crypto derivatives and tokenized real-world assets.
In section Cryptocurrency
South Korean Investors Shift Billions to Overseas Crypto Platforms
South Korean crypto investors moved 560.3 billion won, roughly $367 million, to foreign exchanges in June, marking the 18th consecutive month of net stablecoin outflows. Data from the Financial Supervisory Service confirms that domestic users are increasingly bypassing local platforms to access international derivative and decentralized finance markets.
Lawmaker Lee Jong-wook has flagged these trends as a significant risk, warning that domestic investors are operating without adequate safeguards when utilizing high-risk foreign instruments. While the government considers a consolidated Digital Asset Basic Act to address these vulnerabilities, legislative progress remains slow. As domestic trading volumes on local exchanges continue to decline, the persistent shift toward offshore platforms highlights a widening gap between local regulatory constraints and the demand for sophisticated global financial products.
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