PANews reported on March 23 that, according to CoinDesk, the stablecoin balances on South Korea's five major cryptocurrency exchanges have decreased by approximately 55% since July 2025, from $575 million to about $188 million in mid-March. The outflow accelerated significantly after the Korean won fell below the 1500-dollar mark in mid-March. Bradley Park, founder of DNTV Research, stated that the weakening won amplified investors' motivation to exit dollar-denominated assets, with traders converting stablecoins into won and reallocating them to domestic assets.

This trend aligns with the broader shift of South Korean retail funds from cryptocurrencies to the stock market. Incentives such as government-backed "repatriation" accounts allow investors to enjoy up to 100% capital gains tax exemption when selling overseas assets and reinvesting them locally. The Korea Composite Stock Price Index (KOSPI) has already risen 75% by 2025 and is poised for a further 37% increase this year. Analysts believe that the decline in liquidity in the South Korean crypto market reflects domestic capital rotation rather than a regional withdrawal, and whether funds will flow back in the future likely depends more on the sustainability of the stock market rally.