- Bithumb now controls 25% of Korea’s crypto market.
- Plans a $1B IPO on KOSDAQ by late 2025.
- Faces strict KYC regulations and oversight.
South Korea’s second-largest crypto exchange, Bithumb, is staging an aggressive comeback. After years of struggle and losing ground to rivals, Bithumb now commands 25% of South Korea’s cryptocurrency trading volume, a significant leap from its single-digit share in 2023. The resurgence comes just ahead of its planned $1 billion IPO on Korea’s KOSDAQ market, set for the latter half of 2025.
Founded in 2014 and rebranded in 2015, Bithumb was once the undisputed leader in the country’s digital currency space, with over 70% market share. However, high-profile hacks, including a $30 million breach in 2018, and the rise of competitors like Upbit, backed by digital bank Kbank, caused a sharp decline in its dominance.
Now, after ramping up its marketing budget to 192 billion won in 2024 (a tenfold increase from 2023), Bithumb has clawed its way back into relevance. According to data from market intelligence firm Kaiko, the platform captured 36% of trades in January 2024, stabilizing at around 25% for the remainder of the year.
IPO Ambitions and Business Reforms
Bithumb’s comeback is more than just market share. The company has begun reorganizing its corporate structure ahead of its public listing. It spun off its non-exchange business unit, NYC 5G (also known as Bithumb A), on July 31, 2025, as part of its preparation for the IPO. The intent is to separate trading operations from ancillary ventures such as blockchain research, NFT development, and consulting.
The planned IPO is being underwritten by Samsung Securities, with listing preparations underway for Korea’s KOSDAQ market. A dual listing on the U.S. NASDAQ is also under consideration to attract global investment and boost confidence in its revamped operations.
Financially, the exchange is on stable footing, and the IPO is viewed as an open-minded turn after previous controversy surrounding former executives who were charged with fraud and embezzlement.
Regulatory Pressure Still High
Despite its recovery, Bithumb remains under heavy regulatory oversight. South Korea has among the world’s most stringent crypto regulations, particularly around Know Your Customer (KYC) compliance. In early 2025, the exchange was warned of a potential suspension tied to over 400 suspicious user accounts.
Many smaller exchanges in the country have shut down due to rising compliance burdens, leaving only Bithumb and Upbit as the major domestic players. Global exchanges such as Binance have also grappled with South Korea’s stringent data privacy regulations.
Nevertheless, Bithumb’s survival and restructuring make it a force to be reckoned with in Korea’s changing crypto ecosystem.
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