South Korea’s Top Crypto Exchange Steps into Blockchain Infrastructure
In a significant development within the world of digital assets, Upbit, South Korea’s most influential crypto exchange, has launched its own network. The move has solidified Upbit’s footprints within the blockchain arena, establishing the exchange as more than just a trading platform.
Introducing GIWA Chain: An Ethereum Layer-2 Network
On September 9th, Upbit announced the launching of the GIWA Chain, a second-layer network constructed on the Optimism OP Stack, based on Ethereum’s structure. The revelation came during the Upbit D Conference (UDC) held in Seoul, following anticipatory hints in the days prior.
The choice of Ethereum as the bedrock for the GIWA Chain underscores the key role Ethereum continues to play in the decentralized finance (DeFi) space. The selection of layer-2 network over the more commonly used layer-1 is a testament of Upbit’s commitment to faster transaction speeds without compromising on security.
Characteristics of Giwa Network
The Giwa Network is designed with significant emphasis on speed while maintaining security. It boasts of a swift one-second block times and shows compatibility with Ethereum Virtual Machine (EVM).
Secure transactions within the network are guaranteed by leveraging Ethereum, thereby making it resistant to attacks. In addition, the Giwa Network presents faster transactions, reinforcing the balance between speed, scalability and security. The choice of the name ‘Giwa’, derived from traditional Korean roof tiles, stands as a symbolization of this scalability feature.
Launch of Giwa Wallet and Developer Sandbox
In addition to launching the Giwa Network, Upbit also introduced the Giwa wallet. The wallet features support for several of the large networks compatible with Ethereum Virtual Machine (EVM). To foster immersive learning and experimentation, Upbit plans to launch a developer sandbox complete with detailed documentation in English and Korean. This initiative is expected to aid developers in constructing applications within the chain.
Upbit’s Dominance in Crypto Exchange Market of Korea
Upbit’s move into blockchain infrastructure reaffirms the company’s strategic positioning within South Korea’s crypto market. As of 2024, the exchange commanded an enormous 73.4% share of trading volumes in Crypto Exchange (CEXs), handling between $2 to 4 billion in daily volume.
Upbit’s massive user base which is approximately 8 million, with the majority based in Asia, further underlines its market dominance. It’s noteworthy to mention that Upbit’s parent company, Dunamu, made preparations for a significant unveiling days ahead of the announcement, including filing for a Giwa trademark, and setting up a countdown timer on the Giwa website.
Even though previous rumours suggested that the new network might be a layer-1 chain, the launch confirmed that it is, in fact, a more advanced layer-2 network. The significant development by Upbit marks a major milestone within the crypto exchange space, with an emphasis on faster transaction speeds, advanced security features and overall scalability.
Closing Remarks
In conclusion, Upbit’s introduction of the Giwa Chain and associated products/announcements positions the company to be an influential player and a strong force in blockchain infrastructure. With its dominance in the crypto market and innovative blockchain solutions, Upbit is set to continue playing a significant role in the growth and adoption of digital assets worldwide.
