Stablecoin holdings on cryptocurrency exchanges operating in South Korea have experienced a notable decline in recent months.
Stablecoin holdings on the country’s five largest exchanges—Upbit, Bithumb, Coinone, Korbit, and Gopax—decreased from $575 million in July 2025 to $188 million by March 2026.
The report cited the acceleration of capital outflows as one of the main reasons for this sharp decline. In particular, the depreciation of the South Korean won against the US dollar, pushing the exchange rate above 1,500, led to significant changes in investor behavior.
Accordingly, individual investors are converting their dollar-based stablecoins into the local currency, the won.
According to the analysis, this trend is driven by increasing interest in the local stock market. Investors are reportedly exiting currency-denominated crypto assets and seeking opportunities on the South Korean stock exchange. The depreciation of the won is also highlighted as another factor accelerating this capital outflow.
Experts say the decline in stablecoin balances has led to weakened liquidity in the local crypto market. Whether these funds will return to the crypto market in the coming period is largely expected to depend on the performance of the South Korean stock market.
*This is not investment advice.
