In a groundbreaking announcement that could reshape the landscape of South Korea’s crypto industry, Bithumb, one of the prominent cryptocurrency exchanges, is gearing up for an initial public offering (IPO) in its home country. Reports from local news outlets suggest that Bithumb is eyeing a listing on Kosdaq, the South Korean equivalent of Nasdaq, with an openness to explore options on the main stock market, Kospi.
The move marks a significant milestone as Bithumb seeks to become the first Korean crypto exchange to go public. The Korea Herald, citing a Bithumb official, reported, “We selected Samsung Securities as our manager for the initial public offering. We aim to go public during the second half of 2025.” This development comes on the heels of earlier rumors in 2020 about Bithumb considering a share sale, which the exchange denied at the time.
The primary objective behind Bithumb’s IPO venture is to enhance its market share and narrow the existing gap with its formidable competitor, Upbit. Presently, Upbit commands over 80% of the South Korean crypto market, making it a dominant force in the region.
South Korea, known for its active engagement in the crypto space, witnessed government intervention in 2021 aimed at curbing fraud and illicit activities within the industry. Bithumb itself faced scrutiny as its offices were raided earlier in the year as part of an investigation into potential price manipulation of a digital asset.
Despite these challenges, crypto trading in South Korea remains robust, with Upbit surpassing global giants Coinbase and OKX in August, securing its position as the world’s second-largest crypto exchange after Binance.
Bithumb’s decision to go public reflects its confidence in the continued strength and growth of the crypto market in South Korea. By choosing Samsung Securities as their IPO manager, the exchange aims to navigate the intricate process of becoming a publicly traded company, potentially setting a precedent for other crypto exchanges in the country.
The news comes against the backdrop of the global crypto community closely watching developments in various markets. Bithumb’s IPO could potentially signal a shift in how cryptocurrency exchanges are perceived and regulated, as they transition from being predominantly decentralized entities to publicly accountable enterprises.
The strategic move also aligns with a broader trend of increased institutional involvement in the crypto space, with traditional financial institutions recognizing the value and potential of digital assets. An IPO would not only provide Bithumb with additional capital for expansion but also potentially legitimize the crypto industry in the eyes of skeptics.
As Bithumb and Upbit engage in this market competition, the entire crypto ecosystem stands to benefit. Increased competition often leads to innovation and improved services, ultimately providing users with more secure and efficient platforms for trading digital assets.
However, challenges lie ahead for Bithumb, given the regulatory scrutiny faced by the crypto industry globally. The IPO process will require thorough due diligence, ensuring compliance with existing regulations and addressing any concerns raised by regulatory bodies. Successfully navigating these challenges could set a precedent for other crypto exchanges looking to follow suit.
In summary, Bithumb’s bold move towards an IPO in South Korea marks a pivotal moment in the evolution of the crypto industry. As the exchange aims to close the market-share gap with Upbit, the global crypto community eagerly anticipates how this development will influence the regulatory landscape and set the stage for the future of cryptocurrency exchanges in South Korea and beyond.
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