Tiger Research: In 2024, the transfer of South Korean crypto assets to overseas exchanges and DeFi platforms increased by 2.3 times compared to the previous year

The latest report released by Tiger Research points out that despite South Korea's global leadership in cryptocurrency trading volume, the country's Web3 industry development is hindered due to unclear regulations and lack of specific guidance. Capital, talent, and businesses are accelerating their outflow. The report mentions that by 2024, South Korea's crypto assets transfer to overseas exchanges and DeFi platforms will increase 2.3 times year-on-year, mainly affected by local exchange service interruptions and external investment opportunities. In addition, Korean Web3 companies such as Nexpace, Klaytn, and Wemix have already moved their headquarters to regulatory-friendly countries like the UAE.

The report also points out that the talent drain has exacerbated the decline in technological competitiveness of South Korea’s Web3 ecosystem while countries like the United States and UAE have attracted high-end technical talents through clear policies. If South Korea wants to remain competitive in the global Web3 industry transformation in 2025, it needs to urgently promote regulatory reforms allowing corporate accounts for crypto trading and formulate stablecoin-DeFi related policies to build a sustainable innovation ecosystem.