South Korean retail investors have expanded the nation's crypto market by 12.3% to $449.1 billion, funneling massive capital into artificial intelligence tokens led by Worldcoin (WLD) with $7.41 billion in annual trading volume, according to a report by Chainalysis.
South Korea Retail Traders Push Won AI Volume 19.5x Past Yen
Chainalysis data reveals that AI cryptocurrencies emerged as the single most popular thematic category in won-denominated trading by June, outpacing traditional payment tokens like XRP. The share of won trading dedicated to AI tokens was 19.5 times larger than its share in Japanese yen trading, while also dwarfing equivalent volume shares in the euro, British pound, and Brazilian real.
The surge in crypto AI tokens matched retail activity in equity markets, where retail traders heavily backed chipmaker SK Hynix. While institutional participation and domestic banks remain in pilot stages, retail interest propelled overall market growth even as the broader East Asian crypto market contracted. This speculative momentum aligns with broader market sentiment seen when altcoin futures leverage hit record highs.
Worldcoin and Sahara AI Lead Token Volumes
Worldcoin (WLD) dominated Korean AI token trading with $7.41 billion in volume over the year to June, more than double the $3.2 billion generated by Sahara AI (SAHARA). Other major volume contributors included Virtuals Protocol (VIRTUAL) at $2.7 billion, Bio Protocol (BIO) at $2.0 billion, and NEAR Protocol (NEAR) at $1.7 billion. Older 2025 favorites such as KAITO saw volume shift toward newer arrivals.
- South Korea Crypto Market Growth: Expanded 12.3% to reach $449.1 billion in total size.
- Top AI Token Volume: Worldcoin (WLD) recorded $7.41 billion, followed by Sahara AI ($3.2B) and Virtuals Protocol ($2.7B).
- Won Trading Dominance: AI tokens held a 19.5-times higher share of won trading than yen trading.
- Market Valuation: Grayscale values the global AI crypto sector at $15 billion after a 54% rise in September.
According to Grayscale Research head Zach Pandl, the AI crypto sector remains the smallest of Grayscale's six defined sectors at $15 billion, though AI assets gained 54% in September compared to 24% for the broader market. WLD traded up 44.28% over the past month to $0.57155—despite remaining 95% below its peak of $11.74 set in March 2024. Supply pressure has eased after World reduced daily WLD unlocks by 43% on July 24 to 2.9 million tokens, though traders face a proposed 22% South Korean crypto gains tax scheduled for January 2027.
Why It Matters
South Korean retail traders consistently act as a liquidity catalyst for high-beta sectors, driving outsized global volume into specific altcoin themes. The rapid shift from 2025 tokens like KAITO to WLD and SAHARA demonstrates how quickly Korean capital rotates between emerging narrative plays. As daily token unlocks slow down and South Korea moves closer to its planned 22% tax implementation in 2027, sustained retail volume will test whether AI-focused tokens can maintain valuation gains against wider crypto market trends.
