Funds are moving from digital assets into equities in South Korea, while a crypto tax is scheduled to take effect next year.
South Korea’s kimchi premium (local crypto price gap) has reversed into a discount, indicating weaker demand from domestic retail traders. The shift suggests capital is moving out of the cryptocurrency market and into the stock market, reducing the price premium that South Korean exchanges have historically shown versus global platforms. The report also notes that a crypto tax is due to begin next year, adding a policy factor that may weigh on local trading activity.