South Korea's leading cryptocurrency exchange, Upbit, has officially unveiled GIWA, an innovative Ethereum Layer 2 blockchain, marking a significant milestone in the region's digital asset ecosystem.
Announced on September 9, 2025, at the Upbit D Conference (UDC) in Seoul by Upbit's parent company Dunamu, GIWA is built on the Optimism (OP) Stack, promising faster transactions with one-second block times and full EVM compatibility.
The Rise of GIWA: A New Era for Upbit and South Korea
This launch positions Upbit, already dominating over 73% of the local crypto market, as a formidable player in blockchain infrastructure, akin to Binance's BNB Chain.
GIWA's testnet release is a strategic move to attract Web3 developers globally, offering a scalable, developer-friendly platform for decentralized applications (dApps) and DeFi solutions.
Historical Context: Upbit's Dominance in South Korea
Upbit has a storied history since its inception in 2017, quickly rising to become South Korea's largest exchange with a daily trading volume exceeding $2.25 billion, despite being limited to local investors.
The exchange has navigated stringent regulatory landscapes in South Korea, a country known for its cautious yet progressive stance on cryptocurrencies, solidifying its reputation as a trusted platform.
Impact on the Crypto Ecosystem
The introduction of GIWA could significantly lower transaction costs and improve speed, addressing key pain points in the Ethereum network and potentially onboarding millions of Upbit users to on-chain activities.
Market analysts speculate that GIWA might pave the way for innovations like a Won-backed stablecoin, further integrating South Korea's financial systems with blockchain technology.
Looking Ahead: The Future of GIWA and Upbit
Looking to the future, GIWA is poised to compete with global Layer 2 solutions like Arbitrum and Base, leveraging Upbit's massive user base to drive adoption in the Asian DeFi market.
Community buzz in South Korea, as seen on social platforms, hints at potential airdrops and incentives to encourage early adoption, a common strategy to boost network growth.
However, challenges remain, including navigating South Korea's regulatory framework and ensuring GIWA can scale to meet global demand without compromising security.
Upbit's bold step with GIWA signals a transformative shift, potentially redefining how South Korea engages with blockchain technology and setting a precedent for other exchanges worldwide.
Andrew Lee
