Bitcoin craze in South Korea drives premiums to ridiculous rates

in bitcoin •  7 years ago  (edited)

Bank of Korea BTC.jpg

There is a huge demand for Bitcoin and Ripple in South Korea right now, and people are paying about 23% premiums to purchase these coins. An important thing to note that South Korea is a very trendy country with highly advanced technology. People say the perfect recipe for FOMO (Fear of Missing Out): trendy country + great technology

South Korean Bitcoin Craze.jpg

This shows how irrational investors can be at times. Since they're paying the exchanges such a high premium, people are bound to take advantage of this and they already have. Traders and investors residing in North America can buy Bitcoin and Ripple in US exchanges and sell it in Korean markets with up to a 23% premium. Koreans are unwilling to purchase bitcoin from US exchanges because it requires them to convert their Korean won into US dollars--this entails a high commission fee for converting the currency. In addition, a US bank account is also necessary to make bitcoin purchases in US exchanges.

Many South Koreans are familiar with stocks and pyramid schemes, and this may allude to the nations' deep involvement in cryptocurrency. This can also help explain a lot of the older generations' skepticism. A large majority of them have witnessed, and possibly experienced, great losses due to poor investments and pump and dumps. A large percentage of the Korean population, especially the government, opposes the growth of cryptocurrency in the nation and intends to ban trading in the country altogether.

Although many people affirm Bitcoin is a pyramid scheme and a scam, I can assure you the Blockchain technology is truly innovative and has great potential to revolutionize the world. The DIGITAL AGE is HERE!!!

[Remember to buy low and sell high. Don't be like the Koreans :)]

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