Rich by Coin

Amid renewed won–dollar volatility at the start of the year, cryptocurrency investors have shifted toward stablecoins pegged to the dollar and gold-backed tokens to preserve value. In Seoul’s FX market, the won briefly breached 1,470 per dollar on the morning of the 13th, with USDT and USDC trading around 1,477 won on local exchanges such as Upbit and Bithumb. On the 12th, when the rate hovered in the 1,460s, the prices of these stablecoins were about 1,475 won.

Dollar-based stablecoins are designed to track the dollar, but actual prices have sometimes traded above the FX rate, signaling expectations of further won depreciation and producing what some observers call a “Kimchi premium.” Their 24/7 tradability and easier access than exchanging cash or holding dollars make them attractive amid escalating FX volatility.

Analysts say persistent won weakness is a primary driver behind the rising stablecoin prices. For example, last October, Tether surged to as high as 1,655 won on Upbit during heightened FX anxiety, and in mid-December the price cooled to around 1,440 won after authorities intervened on the 24th, but recent FX pressures have driven a rebound.

Tokenized gold, named Tether Gold (XAUT), began trading on Upbit and Bithumb earlier this year, and activity has grown as gold prices rose. Initially around 6.25 million won, XAUT has traded around 6.8 million won recently.

XAUT links the ownership of a physical gold bar equivalent to one troy ounce to a token, with serial numbers, purity, and weight verifiable on the blockchain. This structure allows investors to confirm gold details on the blockchain and trade gold exposure without holding physical metal, helping drive the appeal of a new form of gold investment as gold and silver prices surged last year.

Industry officials say that in a weak-won environment, buying gold-stablecoins could offer a “double-leverage” effect for investors. Overall, the trend signals that dollar-stablecoins and gold tokens are increasing as hedges against asset devaluation amid FX volatility, beyond their earlier speculative use.