The Block4 minutes ago

Published on March 07, 2024 06:13 GMT+00:00edited on March 07, 2024 06:14 GMT+00:00

The so-called Kimchi Premium in South Korea reached a 27-month high of 10.32% for bitcoin on Wednesday in Asia, according to data from CryptoQuant.

Kimchi Premium is a term that refers to the price difference between crypto tokens in South Korea and elsewhere. CryptoQuant’s data compares South Korea’s bitcoin price with that of the USD market.

The crypto prices in South Korea differ from those outside the country due to several unique elements of the country’s crypto market. Local rules essentially block foreign investors from trading on South Korean exchanges. Korean investors who purchase large sums of crypto from foreign exchanges for arbitrage may be punished under the country’s Foreign Exchange Transactions Act.

With the limited supply of crypto domestically, surging local demand …