A recent media report suggests that the controversy surrounding Worldcoin in South Korea is fueling trading activity on the Bithumb cryptocurrency exchange. The Busan Ilbo indicates that trading of the Worldcoin (WLD) token has surged following a new investigation by the Personal Information Protection Commission. This surge in interest has led to a significant increase in WLD trading volume on the platform. Notably, on March 4th, the 24-hour trading volume for Worldcoin exceeded that of Bitcoin by nearly 2 billion won, which is over $1.5 million in value.
Worldcoin Controversy: Bithumb a Beneficiary?
Authorities estimate that approximately 50,000 South Koreans are in possession of WLD tokens. Nonetheless, the coin has recently surged in popularity among cryptocurrency investors.
As of 6:30 am UTC on March 7, the 24-hour trading volumes for WLD on Bithumb reached $107.3 million, trailing only Bitcoin and Dogecoin in terms of volume. Bithumb has seen notable benefits from listing the coin, a contrast to its competitor Upbit, which previously held dominance across various trading pairs.
On March 7, Spanish regulators issued an order for the Worldcoin project led by Sam Altman to cease operations within the country. This development likely fueled further trading activity on Bithumb. Presently, WLD transaction volumes on the platform surpass all tokens except SHIB and BTC.
The media outlet emphasized the positive impact of these developments on Bithumb, highlighting that cryptoasset exchanges typically profit from commissions generated by trading activity. Therefore, increased trading of WLD translates to higher profits for Bithumb.
Despite the controversy surrounding Worldcoin in South Korea, holders of WLD tokens remain confident in the safety of their investments for the time being.
Even in the event of regulatory rulings indicating a violation of personal information protection protocols by the Worldcoin project, the report suggests that delisting is not imminent, according to industry consensus.
To address concerns, Worldcoin officials have temporarily suspended iris scanning in South Korea until at least March 20.
Bithumb appears firm in its stance on the matter. A spokesperson stated that the exchange is closely monitoring the deliberations of the Personal Information Protection Committee and emphasized that it’s premature to discuss matters related to the delisting of Worldcoin.
Self-regulating Body May Eventually Decide WLD’s South Korea Fate
In the event that the committee rules unfavorably against the project, Bithumb acknowledged that a body known as DAXA would be responsible for decisions regarding delisting.
DAXA, or the Digital Asset Exchange Association, is a self-regulatory organization composed of the nation’s five licensed cryptocurrency exchanges that trade in Korean won (KRW). Both Bithumb and Upbit are among its members. DAXA holds authority over various cryptocurrency-related matters, including policies regarding token listings and delistings.
Spanish regulators have expressed concerns over Worldcoin representatives’ collection of data about minors and their failure to comply with domestic data laws, which afford users greater control over their personal information.
Meanwhile, the South Korean Personal Information Protection Committee has reported receiving complaints about Worldcoin’s handling of personal data and iris scanning activities. They noted that Worldcoin representatives continue to collect facial and iris recognition data at approximately 10 locations in the country.
Additionally, Hong Kong’s data protection authority has launched investigations into six Worldcoin operators over similar concerns.
