South Korean cryptocurrency exchange operating profits declined 78% in the first half of 2026 as trading volumes, market capitalization, and customer deposits contracted sharply, according to a Korea Financial Intelligence Unit survey released October 2.
The KoFIU surveyed 26 registered virtual asset service providers, including 17 exchange operators and nine custody and wallet providers, covering January 1 through June 30, 2026. The data paints a picture of sustained pressure on the country’s crypto trading ecosystem.
Trading Volume and Deposits Decline Across the Board
Average daily trading volume fell 44% from the previous six months. Cointelegraph analysis in July found combined average daily volume across Upbit, Bithumb, Coinone, Korbit, and Gopax dropped approximately 89% year over year during comparable seven-day periods.
Won-denominated customer deposits fell 35% during the survey period. Market capitalization across surveyed assets declined 33%, while exchange sales revenue fell 41%.
The only metric showing growth was the number of accounts eligible to trade, which rose slightly by 0.4%.
Investor Shift to South Korean Stocks
South Korean retail investors have been shifting attention from crypto to the country’s stock market. The KOSPI, South Korea’s benchmark stock index, more than doubled over 12 months to July 22, 2026.
In May 2026, the value of crypto holdings among South Korean investors fell 50.2%, declining to 60.6 trillion won, equivalent to approximately $41.4 billion.
The survey covered the first half of 2026, a period marked by significant capital reallocation among South Korean retail investors away from digital assets and toward traditional equities.
