Upbit and Bithumb Surge in Korea as Coinone Sells $2.96M Crypto Holdings

Upbit and Bithumb Dominate Korea’s Crypto Scene

Dunamu, the operator of Upbit, saw its private share price rise by 33% year-to-date to 240,000 won ($173), pushing its estimated market capitalization to 8.26 trillion won ($5.96 billion). Bithumb’s surge is even more notable, soaring 131% to 238,000 won ($172).

These exchanges reached their peak valuations on July 4, with Dunamu hitting 258,000 won and Bithumb climbing to 275,000 won during the bullish summer. The strong performance reflects the broader crypto market rally as Bitcoin hit new yearly highs.

Both companies are preparing for possible IPOs, with Bithumb aiming for a Kosdaq listing in late 2025. Their commanding market shares—Upbit with 63% and Bithumb with 33%—position them well for these plans.

Coinone Faces Financial Struggles

In stark contrast, Coinone is facing severe operational challenges. Holding only 3% of the market share, Coinone announced it would sell approximately $2.96 million in crypto assets, which accounts for nearly 10% of its holdings.

This move is the first under Korea’s new crypto regulatory framework established in May. The guidelines allow exchanges to sell crypto for operational purposes but limit the sales to the top-20 cryptocurrencies and require full disclosure.

Coinone clarified that the funds will go toward operational expenses like staff salaries rather than expansion efforts. The exchange posted a $4.4 million operating loss in 2024, marking its third consecutive year of financial deficits. Co-CEO Lee Sung-hyun is reportedly managing multiple roles following significant staff cuts.

Experts suggest Coinone may be positioning itself for acquisition amid growing market consolidation. The dominance of Upbit and Bithumb leaves little breathing room for smaller exchanges, as success increasingly hinges on high trading volumes and economies of scale.