YEREVAN (CoinChapter.com) — On Dec. 3, 2024, South Korea’s cryptocurrency market witnessed significant outflows following the declaration of emergency martial law by President Yoon Suk-yeol.
South Korea Riot Police Block Parliament. Source: Amuse X
Within just one hour of the announcement, over $163 million in USDT was transferred into Upbit, likely from traders positioning themselves for bottom-fishing opportunities during the market turmoil.
The martial law, declared at 10:30 p.m. local time, sent shockwaves through financial markets, triggering a sell-off among local crypto traders in South Korea. Major exchanges, including Upbit, Bithumb, and Coinone, reported surges in activity.
$163M USDT Flows into Upbit Amid Martial Law. Source: Lookonchain Trading Volumes Skyrocket Amid Market Chaos
In addition to the outflows, South Korea recorded a staggering $34 billion in crypto trading volume within 24 hours, nearly doubling the $18 billion recorded the day before. Upbit alone accounted for $27.25 billion, dominating the local market.
This surge in trading activity was accompanied by sharp price drops. Bitcoin’s price on Upbit fell to 88 million won ($62,182), while other major cryptocurrencies, including Ripple (XRP) and Tether (USDT), experienced double-digit losses.
Bitcoin Drops 33% on Upbit and Bithumb. Source: news1 South Korea’s Lawmakers Overturn Martial Law
Martial law lasted only six hours. Lawmakers convened an emergency session at 1:00 a.m. on Dec. 4, voting unanimously to nullify the declaration. By 4:30 a.m., martial law was formally rescinded by President Yoon.
Moreover, the opposition party has since announced plans to file treason charges against President Yoon and key ministers. Impeachment proceedings are also being prepared. The situation has heightened political tensions, which could have lasting impacts.
On decentralized prediction platforms like Polymarket, the likelihood of President Yoon leaving office rose to 78% before falling back to 47% later in the day.
Polymarket Predicts 78% Chance of Yoon’s Exit. Source: Polymarket
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