The largest exchanges in Korea are escaping from Korea. Upbit will establish a new exchange 'Upbit Singapore' in Singapore later this month. It's because the transaction amount, which was close to 12 trillion won a day at the end of last year, was reduced to 1000-3 billion won this month.
Bithumb, who has been in the top two world largest market with Upbit, is no exception. Bithumb was sold to the BK consortium of Singapore and moved its overseas base. They also said that it plans to establish a Bithumb Dex in Hong Kong this month.
Coinone also established a local company 'Coinone Indonesia' last August.
Naver established Bit box for crypto exchange in Singapore last July through its Japanese subsidiary 'Line'.
Nexon(the largest game company in Korea)'s holding company NEX is reportedly negotiating to acquire 'Bit stamp' on the European crypto exchange. The company also acquired Kobit, a Korean domestic exchange, last September.
Why are the largest exchanges in Korea escaping from Korea?
The government has never issued a clear regulation on cryptocurrency but has continued to give pressure to exchanges. For example, if you want to trade at Upbit now, you have to identify bank account at IBK(Industrial Bank of Korea)and connect it to Upbit, but IBK has not allowed Upbit to open a new account since February.
Most exchanges have blocked the way to bring new customers.
The government is cutting down the industry that can create tens of thousands of jobs in the future. It is time for the government, which has only introduced intense regulations to prevent speculation, to set up a new institutional device for the crypto exchanges.
