South Korean exchanges switch to survival mode as crypto winter extends

What happened

South Korea’s five won‑based crypto exchanges saw trading turnover fall about fifty‑five percent and volume drop roughly the same amount, so they are rebuilding around bank and brokerage partnerships, institutional services and regulatory cleanup to survive.

Confirmed

Global impact / market context

The sharp revenue loss forces exchanges to change their business models, which could reshape South Korea’s crypto market, affect how investors access digital assets, and drive tighter compliance with regulators.

Confirmed

A roughly fifty‑five percent decline in turnover and volume shows the crypto winter is deepening in South Korea, prompting exchanges to seek new revenue streams and stronger regulatory standing to stay afloat.

Confirmed

What to watch

1. If new bank and brokerage partnerships generate enough transaction fees to replace lost revenue, where transaction fees are the charges users pay for each trade. Analyst inference
2. How quickly institutional services, meaning offerings for large investors such as custody and trading desks, attract capital and improve market liquidity, which is the ease of buying or selling assets without large price moves. Analyst inference
3. The speed and effect of regulatory cleanup, which is the process of meeting legal requirements, on compliance costs and the ability of exchanges to operate without further penalties. Analyst inference

Evidence

• cryptopolitan.com