Report Reveals Bithumb Korea’s Financial Results Decline in 2023 Despite Increased Trading Activity

In 2023, despite an increase in trading activity, Bithumb Korea’s financial results suffered as the company faced challenges that adversely affected its bottom line.

The exchange experienced a sharp decrease of over 57% in revenue year-over-year, falling from 3.201 billion won in 2022 to just 1.358 billion won in 2023. Factors such as a contentious strategy aimed at attracting individual traders are among the reasons for the downturn in revenue.

• A Newdaily report highlighted a dramatic 74.5% drop in Bithumb Korea’s net income, sliding from 954 billion won the previous year to 243 billion won, despite the company posting a profit for four years in a row.
• The crash in cryptocurrency values during the prolonged downturn in the market played a significant role, with Bithumb’s implementation of zero-fee trading in Q4 of 2023 further impacting its revenue negatively.
• Bithumb persisted with its expansion throughout South Korea in 2023, seeking to increase its market reach in the face of challenging market trends.
• In January, Bithumb recorded an impressive Bitcoin trading volume of nearly $3 billion, overshadowing Upbit, which posted under $1 billion.
• This was significant given Upbit’s previous supremacy in South Korea’s cryptocurrency market.
• Both exchanges experienced an upswing in trading volumes after a temporary market recovery, with Bithumb rapidly reaching a record 72% market share in early February.
• Additionally, Bithumb’s planned IPO encountered difficulties due to a revision of internal strategies and complications linked to its former chairman Lee Jeong-hoon.
• The company was previously reported to be preparing for an IPO on the Kosdaq, a step it was supposed to take in the second half of 2025.