Cryptocurrency is booming in South Korea, but beneath the surface, the surge is driven less by optimism than by the economic desperation of its younger generation, according to a local expert.
Crypto exchange users in South Korea have surpassed 16 million, according to data from late March, after receiving a boost from US President Donald Trumpโs election win last November. The figure represents over 30% of the countryโs population.
Still, recent comments at German Blockchain Week from Eli Ilha Yune, chief product officer at quantum machine learning startup Anzaetek, suggest that this is not a consequence of the local populationโs enthusiasm for blockchain technology. He explained during an โAsia Insightsโ panel that there are a lot of โcrypto traders in Korea.โ
Yune noted that the โmotive comes not from [โฆ] a belief in Web3 [โฆ] like in the West.โ Instead, he attributes it to the financial desperation of the young generation, which pushes them to seek โquick money.โ
Yuneโs remarks come as newly elected President Lee Jae-myung moves to fast-track campaign pledges for integrating digital assets into South Koreaโs financial system, with bold plans for institutional crypto integration.
That includes support for issuing domestic stablecoins, with the head of South Koreaโs central bank reportedly stating that he is not opposed to the country issuing a Korean won-based stablecoin.
Related: South Korea to investigate fees of local crypto exchanges
The dire situation of South Koreaโs youth
Cryptoโs popularity among the younger generations is not new, and the 2025 Korea Wealth Report shows that the โyoung richโ hold three times more crypto than the over-45 wealthy. Also, 34% of local high-net-worth individuals already own crypto, according to local reports.
Still, according to Yune, this is not motivated by a widespread belief in cryptoโs potential among South Koreaโs youth. He said South Korea is used to having a high-growth economy that found itself unable to keep the pace, leaving the younger generations jobless.
Youth unemployment for individuals aged 15 to 29 in South Koreaย stoodย at 6.6% in May, more than double the overall 2.7% unemployment rate.
Related: Kaia pledges won-pegged stablecoin as South Korean payment stocks rally
Real estate out of reach
Yune admitted that stocks would be the first option for South Korean youth to consider. Still, he pointed out that โthey donโt see a lot of returns.โ Housing is also out of reach both for personal needs and as an investment, Yune said:
โThey cannot buy houses anymore, or even the rent is too high for them. So their only option is to do crypto.โ
The median Seoul apartment price has doubled in five years, topping 1 billion won ($689,000), and the price-to-income ratio for the city is reportedly 15.2. โSo thatโs why a lot of [โฆ] crypto traders and why Iโm saying this is theyโre not actually interested in [crypto,]โ Yune said.
Yune added that โthere are exceptions, of course,โ but said โmany of them are not even aware of the infrastructure or the technologyโ involved in crypto.
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