Upbit revenue collapsed within the second quarter. Operator Dunamu posted an 85% drop in working revenue as buying and selling charges dried up at South Korea’s largest crypto trade.
The submitting landed three months after Samsung, Hana Financial institution and Hanwha spent about $1.5 billion shopping for into the corporate. Collectively they now maintain near a fifth of it.
Upbit Revenue Margins Fall From 88% to 14%
Dunamu filed its half yr report with South Korea’s Monetary Supervisory Service on Friday. Quarterly working revenue got here to 23.5 billion gained, roughly $17 million. A yr earlier the determine was $108 million.
Income alone doesn’t clarify it. Second quarter income fell 39%. Working prices went the opposite approach and rose 13%.
The squeeze exhibits up within the margin. Again in 2021, Dunamu turned 88 gained of each 100 gained of income into working revenue. Final quarter it saved 14.
Charges did the injury. Fee earnings from the Upbit buying and selling platform dropped 49.8% within the first half to 395.5 billion gained, close to $279 million. That single line accounts for 97% of every little thing Dunamu earns.
The entire market shrank with it. Quantity throughout Korea’s 5 licensed gained exchanges fell 49.5% within the second quarter to $146.4 billion, based on CoinGecko knowledge.
A 22% tax on crypto positive aspects then arrives in January 2027, one motive Korea’s shrinking buying and selling quantity could not bounce again quick. Upbit has in the meantime saved pruning its board, eradicating three altcoins in September.
The Value No person Has Moved
Right here is the awkward half. Samsung associates, Hana Financial institution and Hanwha Funding Securities every paid 439,252 gained a share after they purchased into Dunamu in Could, or about $310. That valued the corporate close to 15.3 trillion gained.
Dunamu’s pending merger with Naver Monetary nonetheless makes use of the identical quantity. The share swap costs Dunamu at 439,252 gained, unchanged for the reason that deal was signed in November 2025.
So the worth has not moved. The enterprise beneath it has.
Shareholders vote on the all inventory deal on November 19. The date has slipped twice whereas Korea’s Truthful Commerce Fee critiques the tie up. Completion is now set for December 31.
Dunamu blamed thinner liquidity throughout world digital asset markets, and the weaker investor urge for food that adopted.
The corporate additionally mentioned it follows the Digital Asset Person Safety Act to the letter. That legislation has ruled Korean exchanges since July 2024. Dunamu says it’s upgrading inner methods to stamp out unfair buying and selling.
For the establishments that purchased in, one query now sits in plain view. They paid a worth set earlier than this collapse reached the accounts. In November, they vote on whether or not it nonetheless holds.
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