The weakening won prompts South Korean investors to actively trade stablecoins

Financial difficulties in South Korea have led to a sharp surge in interest in digital assets. Over the past few months, trading volume of stablecoins has increased by 62%, which is a direct consequence of the depreciation of the national currency. The won has reached multi-year lows against the US dollar, prompting local investors to seek alternative ways to preserve the value of their assets.

Currency crisis as the main driver of demand for stablecoins

Economic pressure on South Korea creates a unique market situation. According to NS3.AI analytics, the weakening of the won directly correlates with an increase in trading volumes of stable crypto assets. Investors view stablecoins as protection against currency volatility, turning to dollar-pegged tokens to preserve capital.

Major local exchanges have responded to this trend with comprehensive marketing campaigns aimed at increasing trading volumes. At the same time, the overall decline in activity across crypto markets makes this growth even more notable — precisely when most segments are experiencing a downturn, stablecoins demonstrate an opposite trajectory.

Government policy as a factor in market development

The regulatory environment in South Korea is also undergoing changes toward liberalization. New measures, including allowing corporate structures to invest in cryptocurrency assets, create a favorable backdrop for market expansion. These reforms signal the government’s attempt to adapt to global trends and support the domestic financial sector.

Thus, South Korea presents an interesting case: where currency challenges and progressive regulation simultaneously stimulate increased demand for stablecoins. The current situation reflects a broader trend of investors adapting to the volatility of traditional financial markets through digital economy tools.