Binance Faces Regional Challenge as South Korean Crypto Trading Hits 12-Month Low Amid Investor Shift to Traditional Equities
Recent market analysis reveals a significant downturn in South Korea's cryptocurrency trading volumes, with local exchanges experiencing their weakest activity levels since mid-2023. According to CryptoQuant founder Ki Young Ju, this decline represents a dramatic reversal for what was previously one of Asia's most active crypto trading hubs. The trend indicates a notable shift in investor behavior as retail participants increasingly pivot toward traditional stock markets in search of more stable returns. This development presents both challenges and opportunities for global exchanges like Binance, which must navigate changing regional dynamics while maintaining their position in the evolving digital asset landscape. The current market conditions highlight the ongoing competition between cryptocurrency and traditional financial instruments, underscoring the importance of market adaptability and investor education in sustaining long-term growth within the digital asset sector.
South Korean Crypto Trading Activity Plummets to One-Year Low as Investors Shift to Stocks
South Korea's cryptocurrency markets have hit a 12-month low in trading activity as retail investors pivot toward traditional equities in search of more stable returns. CryptoQuant founder Ki Young Ju observed that local exchanges are experiencing their weakest volumes since mid-2023, marking a dramatic reversal for what was once one of Asia's most vibrant crypto hubs.
The downturn follows the absence of a sustained altcoin season, with South Korean traders previously known for injecting liquidity into obscure digital assets. These markets had developed a unique pattern of reviving forgotten altcoins through selective exchange listings, though such pumps proved insufficient to maintain long-term engagement.
Capital flight has been particularly acute on won-denominated trading pairs, as inflationary pressures force Korean investors to reassess asset allocation strategies. Where crypto once served as a hedge against currency devaluation, many are now turning to domestic stocks and indices while global traders consolidate activity on Binance and decentralized perpetual exchanges.
Trump Denies Links to Binance's CZ Amid Controversy Over Pardon
President Donald TRUMP has publicly distanced himself from Binance co-founder Changpeng Zhao, following criticism of his decision to pardon the former crypto executive. In a CBS interview, Trump framed the pardon as corrective action against what he called the Biden administration's "weaponization" of justice against the cryptocurrency sector.
The WHITE House confirmed the October 23 clemency for Zhao, who pleaded guilty to AML violations in 2023. Trump asserted no personal knowledge of Zhao, but characterized the case as part of a broader pattern of regulatory overreach. "This was a four-month sentence blown out of proportion," Trump remarked, drawing parallels to his own legal battles.
Wintermute Denies Plans to Sue Binance Over October Crypto Crash Losses
Wintermute founder Evgeny Gaevoy has quashed rumors that the market maker intends to pursue legal action against Binance for losses sustained during October's historic crypto market crash. Gaevoy emphasized that "literally nothing changed" since his initial clarifications, dismissing social media speculation as baseless.
The controversy stems from auto-deleveraging executions during the October 10-11 flash crash, which liquidated $19 billion in positions and temporarily erased $600 billion from crypto market capitalization. Former Binance CEO Changpeng Zhao endorsed Gaevoy's denial, advising followers to disregard unsubstantiated claims.
Market turbulence was triggered by former U.S. President Donald Trump's announcement of 100% tariffs on Chinese imports, creating panic across digital asset markets. The event reignited debates about exchange risk management protocols during extreme volatility.
Bitcoin Hyper Raises Over $25.7M Amid Market Downturn
Bitcoin's price slid below $104,000, triggering $1.17 billion in long position liquidations after failing to breach the $113,000 resistance level. Market opportunists are eyeing discounted assets, with Bitcoin Hyper ($HYPER) emerging as a standout altcoin during the dip. The project has raised $25.7 million in its presale, positioning itself as a solution to Bitcoin's scalability and utility limitations.
Bitcoin Hyper aims to address the network's slow transaction speeds and high costs while expanding $BTC's functionality. The presale momentum suggests strong investor confidence in $HYPER's potential to enhance the bitcoin ecosystem through improved efficiency and broader use cases.
Whale Nets $19.87M Profit on Aster Token Following CZ Endorsement
Aster Token's price surged 20% after Binance CEO Changpeng Zhao (CZ) disclosed a personal investment in the asset. The announcement triggered aggressive whale activity, with one trader capitalizing on the volatility to secure $19.87 million in profits.
LookOnChain data reveals multiple large-scale short positions emerged post-announcement. Notably, wallet 0xbadb accumulated 15.3 million ASTER ($19.1M) with a $2.1109 liquidation threshold. The token briefly breached $1 before retracing.
Market observers note such volatility patterns are becoming characteristic of influencer-driven altcoins. 'When CZ speaks, the market listens - but not always rationally,' remarked a Singapore-based OTC trader who requested anonymity.
Binance-Backed Startup Accused of Wallet Manipulation in Token Airdrop
aPriori, a trading startup supported by Binance founder Changpeng Zhao's venture firm YZi Labs, faces allegations of a Sybil attack during its recent APR token airdrop. Blockchain data reveals that approximately 5,800 wallets, linked through transactional patterns, claimed 80% of the distributed tokens on BNB Chain.
The airdrop, intended to reward early contributors and NFT holders, saw suspicious activity days before the public announcement. Small BNB deposits, just enough to cover gas fees, were funneled to these wallets from 13 undisclosed source addresses. The APR token's market cap has since plummeted 61% from its $134 million peak on October 23.
