Bithumb grabs 25% of Korea’s crypto market ahead of $1B IPO

South Korea’s biggest crypto exchange by trading volume, Bithumb, has bounced back, easily regaining more than a quarter of the country’s total digital currency trading volume ahead of its anticipated $1 billion IPO in late 2025.

The rise is a welcome return to form for Bithumb, which has had a torrid 12 months. Founded in 2014 under the name Xcoin and rebranded in 2015, Bithumb once ruled the roost in South Korea with over 70% of trading volumes.

However, the exchange began to fade after suffering hacks, including one in 2018 that saw it lose about $30 million. Meanwhile, rival Upbit rose to prominence after partnering with internet-only Kbank, which could help process new exchange users digitally.

But by 2024, Bithumb came roaring back. It raised marketing expenses more than tenfold to 192 billion won in 2024, from 16 billion in 2023.

Data from market data provider Kaiko shows that Bithumb held 36% of the trade in January 2024. Though those figures have since waned, the firm has maintained around 25%. That’s quite a bit higher than its high single-digit market share at the start of 2023.

Bithumb’s sudden resurgence is throwing the market into disarray in a country where Upbit has long held a near-monopoly. 

For years, Upbit was a primary growth driver with Kbank, and it was able to roll out a digital onboarding process for customers. The return of Bithumb, however, indicates that the market is now better positioned to compete.

Bithumb sets the stage for public listing

Bithumb is presently in preparation for IPO. The exchange is now racing to reach 1 billion dollars in IPO goals.

A listing is scheduled for the second half of 2025, with Samsung Securities as the lead underwriter. The bourse plans to list South Korea’s KOSDAQ stock market and is considering a dual listing of the cryptocurrency exchange operator on the United States’ NASDAQ market to attract more global investors, KRX said.

Bithumb has already broken its non-exchange businesses into smaller units to make the company easier to manage ahead of the IPO chase. NYC 5G (Bithumb A) was spun off on 31 July 2025. This move is intended to simplify its corporate setup and remove core trading functions from other projects, such as “blockchain research, consulting, and NFT efforts.”

Solid financials back Bithumb, and its upcoming IPO is seen as a strategic step toward greater transparency. The move comes as the company works to rebuild trust following past controversies, including investigations into former executives over allegations of fraud and embezzlement.

Bithumb remains under regulatory scrutiny

Despite a few recent wins, Bithumb remains under intense regulatory scrutiny. South Korea enforces some of the world’s strictest crypto regulations, where violations can result in severe penalties.

In the first half of 2025, Bithumb was warned about potential regulatory suspension due to Know Your Customer (KYC) regulations. The Financial Services Commission had to develop a countermeasure for over 400 suspected user accounts.

That backdrop has pushed many smaller Korean crypto exchanges out of the business. Only two big players remain in the country: Bithumb and Upbit. International exchange players like Binance also encountered challenges from the authorities, and the tight data privacy law proved difficult to sidestep.

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